Fundamental view:

Bitcoin fell in the last week initially due to the positive sentiment for the greenback but it made a bounce back at the end of the week.

The recent update that China’s ministry of commerce has announced the initial launch of the country’s digital currency in selected cities. The cities that have been selected to pilot the digital currency include those in the northern Chinese region of Beijing-Tianjin-Hebei, eastern region of Yangtze River Delta, “Greater Bay Area” around the Pearl River Delta and some cities in Midwestern China seems to create optimism among investors towards Bitcoin.

The major economic events deciding the movement of the pair in the next week are Crude Oil Inventories, FOMC Meeting Minutes, OPEC-JMMC Meetings at Aug 19, and Unemployment Claims at Aug 20 and Flash Manufacturing PMI at Aug 21 for US.

BTC/USD Weekly outlook:

Technical View:

Last week’s high was 1.37% higher than the previous week. Maintaining high at 12063.2 and low at 11097.2 showed a movement of 966 pips.

In the upcoming week we expect BTC/USD to show a bullish trend. The Instrument is trading above the 100 Simple Moving Average and the MACD trades to the upside. A solid breakout above 12182.2 may open a clean path towards 12605.7 and may take a way up to 13148.2. Should 11216.2 prove to be unreliable support, the BTCUSD may sink downwards 10673.7 and 10250.2 respectively. In H4 chart Ascending Triangle breakout favors prospects of a bullish trend. Bullish engulfing pattern constructs a bullish outlook for the pair in the upcoming week.