Senator Wendy Rogers introduced a bill to make bitcoin a lawful currency in Arizona; Bitcoin and Ethereum Technical Analysis
- Arizona Introduces Bill to Make Bitcoin Legal Tender
- Bitcoin/USD at Resistance
Arizona Introduces Bill to Make Bitcoin Legal Tender
Arizona State Senator Wendy Rogers tweeted out in September of last year that she wanted to make Arizona a crypto-friendly state and since then has introduced a bill that could potentially make Bitcoin legal tender for the state of Arizona. It has not yet been disclosed if/when a vote might take place, but if the bill is discussed it would officially make Arizona the first US State to consider this development.
The bill introduced by Senator Rogers defines legal tender as “Any medium of exchange that is authorized by the United States Constitution or Congress for the payment of debts, public charges, taxes, and dues.” At this time, EL Salvador is the only country to recognize Bitcoin as legal tender, so the move to push Bitcoin as legal tender in Arizona would likely trigger a wave of controversy and debate around the United States about its adoption.
BTC Daily Chart
BTC Weekly Chart
At the time of writing, Bitcoin is about $38.5k. This is an important level that price is currently at because it is at resistance. Bitcoin is at a decision point at this level and will either have to break through resistance or it will end up getting rejected and falling lower. The area that I would like to see reclaimed on the weekly time frame is the $38k – $41k area. If we can flip this level, I think that we have the possibility of a nice retrace to the $45k area in our hands.
Bitcoin Bull Scenario
Bitcoin reclaims support over $38k – $41k area and then we look at or near the $45k level as the next area of resistance.
Bitcoin Bear Scenario
Bitcoin does not reclaim the daily support level of $38k – $41k level, and then we look for the $35k – $30k level as a possible area of support.
ETH Daily Chart
ETH Weekly Chart
At the time of writing, Ethereum is priced at $2781, and the reclaim of the weekly level is beginning to look promising. This does not mean that we should not wait for a close and retest of the level because promises are often broken, but this price action does seem to be attempting to reclaim the level. If $2.7k can be reclaimed, the next area of resistance that I would expect for price to slow down would be in the $3k area.
Ethereum Bull Scenario
Ethereum reclaims the $2.7k level on the daily time frame and then pushes up to the $3k area.
Ethereum Bear Scenario
Ethereum loses the $2.7k level and I believe that we revisit the $2.3k level or lower.