Bitcoin (BTC), the world’s largest cryptocurrency, recovered some of its losses and gained modest traction near the $23,500 level, as the cryptocurrency market regains momentum after a steady advance in the industry. Bitcoin and Ethereum are currently trading at $23,516.89 and $1,649.09 respectively.
However, the current recovery in the price of Bitcoin can be attributed to recent progress in the cryptocurrency industry. Notably, Australia’s central bank has expressed willingness to investigate the introduction of central bank digital currencies (CBDCs) in the country. The move could have significant implications for the CBDC plans of other Commonwealth countries.
In addition, France is making moves to take the lead in cryptocurrency regulation in the European Union. Meanwhile, China is showing strong support for Hong Kong’s new cryptocurrency policy and the country’s efforts to legalize digital assets. These efforts are seen as significant developments that have helped minimize losses in cryptocurrency markets.
The possibility of higher interest rate hikes and increased regulatory scrutiny in the cryptocurrency sector could disappoint investors in the coming weeks, serving as negative news. This is another important reason that prevents the further increase in the value of BTC.
Australia’s central bank is showing interest in CBDC
The Reserve Bank of Australia and the Digital Finance Cooperative Research Centre, an Australian financial research centre, have jointly announced that Australia’s central bank will begin piloting a central bank digital currency in the coming months.
On 2 March, the RBA announced it was working with the DFCRC to investigate the application and financial benefits of a central bank digital currency (CBDC) in Australia.
However, the pilot project will start on March 31 and end on May 31, with a final report on the results to be published on June 30. The report will include an assessment of the various use cases developed during the pilot project and any potential advantages and disadvantages of a central bank digital currency in Australia.
France tightens cryptography rules for new users
French senators have passed tougher laws for cryptocurrency companies that now only need President Emmanuel Macron’s signature to become law. The French National Assembly passed a law by 109 votes to 71 that imposes stricter conditions on new players who intend to enter the French cryptocurrency industry.
This move is considered a setback for the cryptocurrency industry and could have a negative impact on the value of the cryptocurrency.
On the other hand, Abu Dhabi is working to attract various digital asset companies, including cryptocurrency exchanges, digital wallets and blockchain companies, by providing a favorable regulatory environment and attractive tax incentives.
As a result, the move is seen as a significant win for the cryptocurrency market, which could soon get a boost.
Bitcoin price
The current price of Bitcoin is $23,450 and the 24-hour trading volume is $22.8 billion. Bitcoin is down 1.29% in the last 24 hours. It currently ranks #1 on CoinMarketCap with a real market capitalization of $452 billion. Bitcoin’s total supply is 21,000,000 BTC, of which 19,305,818 BTC are in circulation.
The BTC/USD technical outlook is largely unchanged as Bitcoin continues to consolidate below the $23,750 resistance level, maintaining immediate support at $22,800. If the price falls below this level, Bitcoin may find support at $22,150.
Even though the BTC/USD pair is in an oversold zone, there is a possibility of a bounce in the BTC/USD pair which could lead to a break through the $23,750 resistance level and push the price towards $24,250.
Currently, the immediate support level for the BTC/USD pair is $22,800, and if this level is breached, it could expose Bitcoin to the next support zone at $22,150.
Ethereum price
The current market price of Ethereum (ETH) is $1,645 and the 24-hour trading volume is $6.9 billion. Ethereum is down almost 0.50% in the last 24 hours. It ranks second on CoinMarketCap with a real market capitalization of $201 billion.
In terms of technical analysis, the ETH/USD pair is trading in a tight range between $1,600 and $1,680, forming a symmetrical triangle. A breakthrough of this range will determine the next market movement. A bullish breakout of the $1,680 level could see ETH price rise further to $1,730 or $1,745.
On the other hand, a bearish breakout of the $1,600 level could push the Ethereum price towards the $1,550 level.
