What 1-hour chart says? Fundamental Development: During a recent event hosted by The Wall Street Journal, Bank of England Jon Cunliffe opined that retail investors do not actually understand cryptocurrencies. He added that cryptocurrency buyers could end up losing all their money since digital assets are highly speculative. The oft-repeated warning is highly relevant in the wake of the collapse of the Terra protocol. Its native LUNA token plunged to zero in days, impoverishing its investors. Cunliffe believes that digital assets have no intrinsic value, which is why they fluctuate depending on market sentiment. He added that cryptocurrencies are not actually viewed as a financial investment by retail investors. The BoE official has added that cryptocurrencies should be treated as risky securities. The total cryptocurrency market capitalization currently stands at $1.29 billion.
Short Term Technical View: On daily time frame BTC is trading below 200 simple moving averages and trading between $30,900-$29,200 ranges. Yesterday it made high near $30,700 resistance zone and then it fell down sharply and found support near $29,300 support zone. Bitcoin is struggling to gain momentum above $30,500 and $30,700.The price is now trading near the $29,800 level and the 200 hourly simple moving averages.
Alternative Scenario: if Bitcoin fails to gain pace above the $30,700 resistance zone, it could start a fresh decline. An immediate support on the downside is near the $29,300 level and the next major support is near the $28,700 level.
