18.09.201807:58 Forex Analysis & Reviews: Bitcoin analysis for 18/09/2018

According to the local IT Web magazine, the new finance minister Zimbabwe said that the country should adopt Bitcoin at the state level in a similar way to Switzerland. Referring to the "investment and understanding" of Bitcoin by the Swiss central bank, Mthuli Ncube said he would call the Reserve Bank of Zimbabwe (RBZ) to follow suit: "|Zimbabwe should invest in understanding innovation, and central banks often invest too slowly in these technologies. But there are other countries that are moving faster. If you look at the Swiss Central Bank, they invest in Bitcoin and understand it" - he said.

Zimbabwe is still struggling with financial hardship after the political turmoil due to years of economic turbulence. Meanwhile, RBZ has been taking an increasingly cautious position in the matter of cryptocurrencies for some time. In May this year, the bank banned all domestic banking institutions from handling cryptocurrency companies in a similar way to India and Iran. Ncube suggested that turning a blind eye to Bitcoin would close the door to the benefits that would emerge later:"[...] If these countries notice the value and direction in which this is going, we should also watch carefully. [...] The idea should not be to stop this and say, do not do it, but rather regulators should invest in catching up and find a way to understand this. Then you regulate it because now you understand it "- he said.

In July, the RBZ revealed that it is investigating ways to apply Blockchain technology in its internal processes.

Let's now take a look at the Bitcoin technical picture at the H4 time frame. The market is consolidating slightly around the level of $6,179 after breaking below the trend line support. The nearest technical resistance is seen at the level of $6,317 and this might be the target for bulls. On the other hand, if the level of $6,179 is broken, then the next technical support is seen at the level of $6,076 - $6,054.