In the realm of technical analysis, examining the weekly timeframe for BTCUSD reveals an upward trend following a significant plunge from $69,016 in November 2021 to $15,519 in November 2022. Notably, a trendline drawn from $15,519 upward saw a rejection at $24,817, marking a higher low and sustaining the upward trajectory. Consequently, in the weekly timeframe, BTCUSD is experiencing an uptrend.
Shifting our focus to the daily timeframe, the BTCUSD price has been oscillating between $45,967 as the resistance level and $40,264 as the support. Should the support level be breached, there is a heightened likelihood of a further price decline, favouring bearish sentiments. Conversely, if the resistance level is breached, there is a significant probability of the price ascending, which would be favourable for the bullish outlook.
The existing market setup presents a classic scenario known as “buy the rumour, sell the news.” Traders are actively participating in anticipation of positive outcomes related to the Bitcoin spot ETF submission scheduled for approval between January 8 and January 10, 2024.
As the SEC’s decision on Bitcoin ETFs looms, market participants brace themselves for potential market impacts. Analysts are contemplating the prospect of a “buy the rumour, sell the news” dynamic. The approval of a Bitcoin ETF has the potential to instigate substantial movements in the market.
For Bitcoin traders, vigilance is key as significant market shifts are expected to unfold this week in response to the SEC’s decision on Bitcoin ETFs.
