02.12.202210:29 Forex Analysis & Reviews: Technical Analysis of BTC/USD for December 2, 2022

Crypto Industry News:

Pavel Durov, the founder and CEO of the Telegram application, believes that the demise of FTX happened because the blockchain industry recently moved away from its decentralized nature. He argued that several people abused power, which led to a spectacular implosion.

The Russian-born entrepreneur said Telegram's next goal is to create unattended wallets and decentralized exchanges so that crypto traders can have maximum protection when operating in the sector.

According to Durov, such unlucky situations as with FTX will be eliminated if blockchain-based projects return "to their roots - decentralization."

"Cryptocurrency users should switch to 'no trust' transactions and self-hosted wallets that do not rely on a third party," Durov said.

Durov called on developers to create "fast and easy-to-use decentralized applications for the masses." He said it only took five weeks to build Fragment, a fully decentralized blockchain platform powered by The Open Network. He added that Fragment has been quite successful, selling around $50,000 worth of usernames in less than 30 days.

The Russian assured that Telegram's next step is to introduce various decentralized tools, such as unattended wallets and a decentralized exchange for "millions of people."

Technical Market Outlook:

The BTC/USD pair has hit the projected target at the level of $17,310 as expected. The BTC spiked up over 11% already and the next technical resistance is seen at $17,600. Currently, the market is making a local pull-back and the immediate technical support is seen at $16,984 and $16,793. The momentum is strong and positive, but the market conditions are now extremely overbought on the H4 time frame chart. There is no indication of the down trend on Bitcoin to terminate or reverse yet, so the next target for bears is seen at the level of $13,563 (2019 high).

Weekly Pivot Points:

WR3 - $17,057

WR2 - $16,628

WR1 - $16,391

Weekly Pivot - $16,199

WS1 - $15,962

WS2 - $15,770

WS3 - $15,340

Trading Outlook:

The down trend on the H4, Daily and Weekly time frames continues without any indication of a possible trend termination or reversal. So far every bounce and attempt to rally is being used to sell Bitcoin for a better price by the market participants, so the bearish pressure is still high. The key long term technical support at the psychological level of $20,000 had been violated, the new swing low was made at $15,555 and if this level is violated, then the next long-term target for bulls is seen at $13,712. On the other hand, the gamechanging level for bulls is located at $25,367 and it must be clearly violated for a valid breakout in the long term.