FxWirePro- BTCUSD Daily Outlook

BTCUSD pared some of its gains after Fitch's downgrade.  It has lowered the credit rating of the United States from AAA+ to AA+.BTC hits a low of $28929 and currently trading around $29121.

Major economic data for the week

Aug 3rd, 2023,                      

           US initial jobless claims (12:30 pm GMT)

   US ISM services PMI (2:00 pm GMT)

Aug 4th, 2023,  US Non-Farm employment change (12:30 pm GMT)

Factors to watch for Bitcoin price action-

  US markets -

 NASDAQ (positive correlation with BTC) - Bullish (neutral for BTC). The correlation between Bitcoin and NASDAQ diverged and 90 -the day correlation dropped to almost zero. Any decline below 15200 will take the index to 14925.

According to the CME Fed watch tool, the probability of a no-rate hike in Sep increased to 82.50% from 78.70% a week ago.

Technicals-

Major support- $27500.  Any break below will take it to the next level at $25000/$23800/$23300 if possible.

 Bull case-

Primary supply zone -$32000. The breach above confirms minor bullishness. A jump to the next level of $36300/$40300/$41349 is possible.      

  Secondary barrier- $42600. A close above that barrier targets $48800/$50000.

 It is good to buy on dips around $27500-600 with SL around $24500 for TP of $35000/$40000.