BTCUSD gains made yesterday on risk aversion. Markets eye USA Federal Chairman Powells testimony today for further direction. Any hawkish comments will further drag the Bitcoin down. The decline in crude oil prices is a positive factor as a reduction in inflation would prevent an aggressive rate hike. It hits a low of $19900 at the time of writing and currently trading around $20260.

Factors to watch for Bitcoin price action:

USA markets :

NASDAQ (positive correlation with Bitcoin)- Mixed (neutral for BTC). The index declined after a minor pullback. Any break above 11700 will take 12195/1250 confirming bullish continuation.

US bond yields (Bearish)- Positive for BTC. USA 10-year yield lost more than 3% from yesterdays high of 3.17%.


Major support- $19980. Any break below will bring an end to the bullish trend, a dip to $17000/$14000 is possible.

Bull case:

Primary supply -$21500 . The breach above confirms minor bullishness. A jump to the next level of $22000/$24850/$26400/$27000 is possible.

Secondary barrier- $30000. A violation above that barrier targets $33000/$35000.

It is good to buy on dips around $19000 with SL around $17000 for TP of $30000.