Weekly Forecast

Ease your trading with our fundamental predictions and technical analysis

BTC/USD Weekly Forecast (14th February 2022 – 18th February 2022)

Feb 12, 2022 05:45

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Fundamental view:

Bitcoin initially rallied against the greenback but later gave up some of its gains, However it managed to form a bullish weekly candle. The US dollar bulls was favored by the stronger than expected CPI data.   The US reported the January Consumer Price Index, which soared to 7.5% YoY against the forecast of 7.2%,and the jump was the highest level since February 1982. This made the market rush to priced a 50 bps rate hike in March.

On the other hand, Recent news of bill passed by Canada favoring crypto and Billionaire Bill Miller views on Bitcoin seems to underpin the uptrend of Oldest crypto – Bitcoin. A bill has been introduced in Canada to encourage the growth of the crypto sector. “Canada should be attracting billions of dollars in investment in the fast growing crypto asset industry. Today I introduced a bill, the first of its kind in Canada, to make sure this becomes a reality,” said the parliament member who introduced the bill. Veteran investor and fund manager Bill Miller says he has “a very big position” in bitcoin and expects to see a lot of institutional adoption this year, particularly among endowments and foundations. “Bitcoin is insurance against financial catastrophe,” he opined.

The major economic events deciding the movements of the pair in the next week are NY Fed Empire State Manufacturing Index at Feb 15, Retail Sales monthly report, EIA Crude Oil Stocks Change, FOMC Minutes at Feb 16, Initial Jobless Claims, Philadelphia Fed Manufacturing Index at Feb 17, Existing Home Sales at Feb 18 for US.

BTC/USD Weekly outlook:

Technical View:

Last week’s high was 8.05% higher than the previous week. Maintaining high at 45806.9 and low at 41517.1 showed a movement of 4289 pips.

In the upcoming week we expect BTC/USD to show a bearish trend. The Instrument is trading above the 200 Simple Moving Average and the MACD trades to the downside. Should 40689.2 proves to be unreliable support then the pair may fall further to 38958.3 and 36399.4 respectively whereas a solid breakout above 44979.0 will open a clear path upward to 47537.9 and then will further raise up to 49268.8. In H4 chart double top pattern breakout favors prospects of a bearish trend. Bearish engulfing pattern constructs a bearish outlook for the pair in the upcoming week.

Preference
Sell: 42437.9 target at 38247.6 and stop loss at 44984.5

 

Alternate Scenario
Buy: 44984.5 target at 49267.8 and stop loss at 42437.9
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