On the morning of November 9, 2023, the price of Bitcoin exceeded $36000- the highest level since May 2022.Many people hope that the Bitcoin ETF applications of major participants such as BlackRock, Fidelity, VanEck, and ARK21Shares will be approved in the near future
On the morning of November 9, 2023, the price of Bitcoin exceeded $36000- the highest level since May 2022.
Many people hope that the Bitcoin ETF applications of major participants such as BlackRock, Fidelity, VanEck, and ARK21Shares will be approved in the near future.
The latest data from Bloomberg analysts shows that the probability of Bitcoin ETF spot approval before January 10, 2024 is 90%.
A recent study by CryptoQuant suggests that if these Bitcoin ETFs are approved, approximately $155 billion may flow into the cryptocurrency market. CryptoQuant provides the reason for this estimate:
The total assets (AUM) managed by these companies are approximately $15.6 trillion. If they invest 1% of their asset management scale into these Bitcoin ETFs, the total participation in the Bitcoin market would be approximately $155 billion
So far, the BTC price has reached a high of $36863 and has hardly experienced any pullback.
Bitcoin (BTC) continues to break through long-term resistance levels
Looking at the time frame chart next week, you can see the importance of the $31000 level area. Since December 2020, the region has served as both support and resistance.
The last rejection occurred in July 2023 (red icon). After regaining its foothold, BTC accelerated its rise and erupted in October. Since the acceleration (green symbol), BTC has continuously produced four bullish weekly candles, although the current candles have not yet closed bullish.
Traders use the Relative Strength Index (RSI) as a momentum indicator to identify overbought or oversold situations and decide whether to accumulate or sell assets.
A reading above 50 and showing an upward trend indicates that bulls still have an advantage, while a reading below 50 indicates the opposite.
The RSI is rising and exceeding 50, both of which are seen as signs of an upward trend.
Technical analysts use Elliott Wave Theory as a means to identify long-term price patterns and investor psychology, helping them determine the direction of trends.
The most likely wave number shows that BTC bottomed out in June 2022 and began a five wave rise (white).
If the wave number is correct, then BTC is currently in the third wave of the five wave rebound. Calculating the first and third waves in a 1:1 ratio will result in a high of $50300. This level also coincides with the horizontal resistance zone. The target is 40% higher than the current price.
Despite this bullish forecast, breaking below the first wave high (red line) of $31800 will invalidate the bullish wave. In this situation, BTC may decline by 30% and hit its recent support level of $24500.
(Personal opinions do not constitute suggestions)
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