05.10.202308:13 Forex Analysis & Reviews: Technical Analysis of BTC/USD for October 5, 2023

Crypto Industry News:

Cryptocurrency companies serving clients from the UK are trying to adapt to new, strict rules regarding advertising their services.

While the new regime temporarily gives cryptocurrency companies the right to authorize their own promotions in the UK, only companies registered with the Financial Conduct Authority as virtual asset service providers receive this privilege. The new rules also require companies to make significant changes to their online platforms to effectively warn potential clients about investment risks.

ByBit, which is not registered in the UK, announced that it is suspending services to UK customers before October 8, the date the regulations come into force. Luno - which is also not registered with the FCA - is also stopping some UK customers from making cryptocurrency investments. Meanwhile, PayPal said it would suspend some crypto services until they comply with the new regulations.

Although the Financial Conduct Authority conducted a consultation on the cryptocurrency promotion regime more than a year ago, the authority's guidance only saw the light of day a few months ago - "many companies feel that the period between the issuance of the guidance and the implementation date was too short," said Su Carpenter, chief operating officer at lobbying group CryptoUK - "We know that many companies are irritated by the interpretation of the guidance and as such will be taking a slow and cautious approach to their future financial promotions," she added.

Let's be clear that in a country like the UK, the FCA allows companies to apply for a three-month extension to their deadline to make the necessary changes.

Technical Market Outlook:

The BTC/USD pair has tested the key short-term technical resistance located at the level of $28,608 and reversed lower after hitting the upper channel line during the extremely overbought market conditions on the H4 time frame chart. The next target for bulls is seen at the level of $28,687 and $28,800, however, currently it is a time for a correction. The intraday technical support is seen at $27,299. The strong and positive momentum supports the short-term bullish outlook for BTC, but currently is testing the neutral level of fifty. Any breakout lower would likely extend the down move on BTC towards the level of $26,909 (100 MA).

Weekly Pivot Points:

WR3 - $28,708

WR2 - $28,340

WR1 - $28,158

Weekly Pivot - $27,972

WS1 - $27,790

WS2 - $27,605

WS3 - $27,237

Trading Outlook:

The bulls broken above the gamechanging level located at $25,442, so now the mid-term outlook for BTC is bullish. The last pull-back has reached the 38% Fibonacci retracement and the market is ready to continue the up move. The next target for bulls is seen at the level of $32,350. As long as the level of 19,572 is not clearly violated, there is a chance for a long-term up trend to continue.