Crypto Industry News:

A man from Los Angeles confessed to running a $ 25 million Bitcoin money laundering program and selling methamphetamine. American media reported that the 25-year-old, Kunal Kalra, could receive a life sentence.

Authorities say that in 2015-2017 Kalra exchanged BTC and dollars, ran a Bitcoin ATM and admitted to concluding transactions with drug dealers and other criminals.

Kalra also sold two pounds of methamphetamine to an undercover law enforcement agent. According to the report, he also faces an allegation of money laundering in Texas that was brought earlier this month.

The United States Department of the Treasury has recently added many cryptocurrency addresses to its list of Specially Designated Citizens (SDNs) under the Kingpin Foreign Drug Addiction Act, also known as the Kingpin Act.

In July, Treasury Secretary Steven Mnuchin said the authorities would act to prevent Bitcoin from becoming "the equivalent of a Swiss bank account." According to Mnuchin, the US government daily fights "villains in US dollars to protect the US financial system."

Technical Market Overview:

The high of the recent BTC/USD rally was made at the level of $10,599, just above the 38% of the Fibonacci retracement, but no follow-through has occurred yet as the price got back to the channel again. Currently, the market is testing the lower price levels and it is hovering around the middle of the trading range between the level of $9,704 - $10,599. The upper channel boundary has not been violated as well, so the bears are still in control of the market.

Weekly Pivot Points:

WR3 - $11,710

WR2 - $11,306

WR1 - $10,534

Weekly Pivot Pont - $10,091

WS1 - $9,320

WS2 - $8,854

WS3 - $8,140

Trading Recommendations:

The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are being treated as a correction inside of the uptrend. The larger degree WXY correction might have been completed and the market might be ready for another impulsive wave up of a higher degree. Any violation of the level of $9,049 invalidates the bullish impulsive scenario.