Bitcoin Price Analysis: Amazon Denies Rumors of BTC & Cryptocurrency Payments

  • Amazon will not accept BTC payments by the end of 2021, but the world’s fourth most valuable company is still interested in blockchain technology.
  • The rumor triggered an impressive 15% increase in the price of Bitcoin to $40,000, which is currently below $38,000.
  • As the company proceeds to explore its options, Amazon is still hiring blockchain-savvy employees.
Source: BTC/USD on TradingView

With the false rumor that Amazon will accept cryptocurrencies as a payment method, The weekly technical chart of BTC price movements displays a downtrend. According to the pivot levels (FIB), the primary support levels are $35207 & $30588. On the other hand, if it advances up, the resistance level to follow is $39760. Although the chart forms an inverted hammer candlestick pattern within the day, it is predicted that the price may reverse and rise with medium reliability.

The exponential moving average (EMA) consists of 20,50,200-EMA acts as a reliable support in the price. Investors can view the price pumped above the purple line (50-EMA), confirming the current uptrend. However, the prices were rejected by the 200-EMA. It needs to breach above the orange line, which will ensure an uptrend for the long run.

The volume of (1.916K) is above the MA of 20-days (7.391K). As a result, buying pressure is lost in BTC, causing its price to drop from the resistance zone. Investors may also notice that the volume bars on the chart are decreasing, which indicates that significant volatility is expected in the upcoming trading session.

The MACD indicator gives (BULLISH) crossover above the signal line on May 31, indicating a buy signal in the coin. Moreover, Investors can see faded green bars are visible in the Histogram index.

Amazon Denied City AM’s Rumors That The Giant Will Accept BTC Payments

Accepting BTC for purchases is a catalyst for one of the best days in the cryptocurrency market since May. Since then, the online giant has denied these rumors, causing Bitcoin to plummet by 7%. Conversely, after rumors that Amazon was preparing to accept crypto payments, the market experienced a sharp rise.

Although the online retail giant’s recent interest in blockchain is not just legitimate, as evidenced by its recent blockchain-related job vacancies, this particular rumor is not. The free London newspaper City AM reported that the source cited in the publication was anonymous.

The market seemed to react too quickly to react to events that seemed extremely unlikely in hindsight. If Amazon announces that it supports cryptocurrency, City AM is unlikely to break history. There are rumors that Amazon is preparing to accept Bitcoin and Ethereum as payment options and preparing to accept Bitcoin Cash and Cardano.

These two options seem impractical this time due to the low usage rate. The following price movement has not yet seen a sharp drop, which shows that the news from Amazon is not the only factor contributing to the recent price movement. Last weekend, after a two-month integration period, the confidence of Bitcoin and Ethereum both showed positive returns.

Resistance: $39853

Support: $35207 & $30588

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