Amid much hype around the approval of spot Bitcoin ETF (exchange traded fund), the Bitcoin (BTC) Price displayed significant volatility in the last 7 days. This also coincided with big whale moves involving hundreds of BTC, in what could be a potential indication of a minor dip incoming for the top cryptocurrency.
Also Read: Ark Invest, 21Shares File Another Amendment To Bitcoin ETF Filing
Bitcoin Price Consolidation Incoming?
The narrative for BTC Price momentum in the next quarter would likely be set if and when the U.S. Securities and Exchange Commission (SEC) gives the green light for the Bitcoin ETF approval. The Commission is expected to make the announcement for spot ETF approvals before the tentative deadline of January 10, 2023. In this context, Dan McDermitt, a crypto analyst, predicted that BTC price would follow a consolidation pattern between the support at $40,000 and resistance at $44,000 going into the new year 2024.
As was seen around major macro events like the US Federal Reserve’s interest rate announcements, the top cryptocurrency could likely trade closer to the support range of $40,000 between January 6-10. The analyst also warned that altcoins could come into picture in this scenario, as consolidation in Bitcoin price pattern means other coins picking up. In the last few days, the Chainlink Price (LINK) and Litecoin Price (LTC) signs of volatility, in what could be early signs of an altcoin rally. Hence, investors and traders could likely take a cautious approach in the lead up to the January 10, 2024 deadline.
Bitcoin ETF: After Approval
The approval of the spot Bitcoin filing in January 2024 could mean a positive precursor for traders and investors as pooling in of institutional money could come just in time around the Bitcoin Halving event scheduled for the second half of 2024. This means BTC price could have an extended run of bullish momentum in context of two of the historically important events in crypto.
Already, Standard Chartered forecasted that the cryptocurrency would reach $100,000 by the end of 2024 while Cathie Wood gave out a long term prediction for Bitcoin reaching $1 million by the year 2030.
Also Read: Canadian Crypto Exchange Catalyx Temporarily Suspends Trading, Withdrawals
