The hype over potential for the approval of the first spot BTC ETF was the major reason for the significant surge in the price of BTC during the previous week. BTC gained 14%, reaching resistance at $35K, within a strong push of the price from previous levels around $30K. The highest weekly level reached was $35.119 from where the market exhausted its strength to move the price further to the upside. The price was also supported by the BTC derivative markets, where both BTC and ETH options market reached historically highest volumes at $20B. As long as hype is on the market, it could be expected some strong moves, either to the up or toward the downside. The SEC postponed its decision on several ETF fillings for the end of October, but it should be kept in mind that such a decision might be postponed again.
After a strong push in the price of BTC, RSI reached a clear oversold side and continued to move around level of 82. After such developments it could be expected that the price reversal is coming, but it should be taken with precaution in the week ahead, considering huge buying orders at this moment. In this sense, reversal might be postponed for the end of the week ahead or maybe for the second week of November. Moving average of 50 days has been moved quite close to its MA200 counterpart, putting in question the so-called “dead cross” which occurred in mid-September this year.
The hype is still strong on the market, so any moves should be taken with precaution. The market will continue to be extremely sensitive to any news related to potential approval of the first ETF, in which sense, sudden swings in the price of BTC are probable during this period. In case that market decides to relax a bit, then the price of BTC might enter into a short term reversal, down to the level of $33K. Still, in case of any negative news regarding ETF`s, then the price might drop back to the $30K support line.
After a strong push in the price of BTC, RSI reached a clear oversold side and continued to move around level of 82. After such developments it could be expected that the price reversal is coming, but it should be taken with precaution in the week ahead, considering huge buying orders at this moment. In this sense, reversal might be postponed for the end of the week ahead or maybe for the second week of November. Moving average of 50 days has been moved quite close to its MA200 counterpart, putting in question the so-called “dead cross” which occurred in mid-September this year.
The hype is still strong on the market, so any moves should be taken with precaution. The market will continue to be extremely sensitive to any news related to potential approval of the first ETF, in which sense, sudden swings in the price of BTC are probable during this period. In case that market decides to relax a bit, then the price of BTC might enter into a short term reversal, down to the level of $33K. Still, in case of any negative news regarding ETF`s, then the price might drop back to the $30K support line.
