- Bitcoin’s value surged from $25,912 to $28,089 due to Grayscale Bitcoin Trust’s victory over the SEC.
- The SEC postponed decisions on multiple Bitcoin ETF applications until 2024.
- Bitcoin is currently valued at $25,752, with a 1% decrease in trading volume.
In a volatile oscillation between optimism and pessimism, Bitcoin
The crypto community has recently been abuzz with speculation about the possible approval of a Bitcoin exchange-traded fund (ETF). However, the initial excitement cooled when the Securities and Exchange Commission (SEC) postponed decisions on multiple spot Bitcoin ETF applications, including one from BlackRock, until 2024. Adding to the bearish sentiment, Bitwise formally retracted its applications for Bitcoin and Ether ETFs.
Speculation has been rife that BlackRock could influence Bitcoin prices before its ETF launch. However, industry experts argue that such conjecture seems largely unfounded. Given the potential risks involved, it’s unlikely that the investment behemoth would benefit from a significant Bitcoin price plummet.
Institutional investors maintain a steadfast long-term perspective on digital assets despite the ambiguity arising from the intricate U.S. regulatory environment. Nine premier investment entities have their ETF proposals under review by the SEC.
BTC Price is Influenced by Bitcoin ETF Approval?
In a market analysis report published on September 5, K33’s senior analyst Vetle Lunde and Vice President Anders Helseth highlighted that the previous quarter has markedly increased the likelihood of a Bitcoin ETF receiving the green light. Interestingly, this optimistic outlook has not resulted in significant price increases for Bitcoin or other leading digital currencies.
The green light for an ETF could revolutionize the landscape, drawing in significant capital and dramatically amplifying the demand for Bitcoin. Conversely, the potential denial of a spot ETF would likely have minimal impact, with Bitcoin valuations predominantly preserving their existing equilibrium.
What will happen next with BTC?
A detailed analysis of Bitcoin’s latest price fluctuations clearly illustrates the continuous tug-of-war between optimistic and pessimistic market players. The 9-day exponential moving average (EMA), a key short-term indicator, is around $26,026, highlighting the dominant bearish mood. The Relative Strength Index (RSI), another crucial metric, is at 39, suggesting that the market could soon be oversold.
As of this report, Bitcoin is currently valued at $25,752, experiencing a 1% decrease in trading volume over the past 24 hours. The cryptocurrency is hovering close to the support level in the broad trading range of $24,800 to $31,000.
Significantly, the $24,800 mark is anticipated to be a critical point of contention between bullish and bearish traders. If this threshold is breached, it could trigger a substantial downturn, possibly pushing the BTC/USDT pair towards the crucial $20,000 support level, with a slight buffer only at $24,000.
On the flip side, there’s still a sliver of optimism for the bullish investors. Should they successfully breach the resistance level of $26,833, the pair can rally towards the 50-day Simple Moving Average (SMA), which stands at $28,221.
