SEC in indecision over Bitcoin ETF – Yesterday, the SEC was due to rule on the approval (or otherwise) of Ark Invest’s Bitcoin ETF application. However, as is the case with many cryptocurrency applications, the SEC is still delaying its decision. The Bitcoin price continues to move above $29,000. Comparison with other cycles provides interesting information for the BTC price before the next halving.
Bitcoin price stagnates in 24 hours
The approval of the Bitcoin ETF could have allowed the Bitcoin price to regain volatilitybut the SEC decided otherwise. The BTC price stagnates in 24 hours :
As we approach the end of the week, the price of BTC shows a very slight rise in one week. In one month, the share price is down nearly 3%.. Meanwhile, the BTC/ETH pair has been stagnating for a weekand down nearly 2% in one month.
>> 10% discount on your trading fees? Register with Binance (commercial link) <<
Could Bitcoin’s price climb before the next halving?
Bitcoin is a Halving asset. This process, which every four years is drawing nearer, and the miners will see their rewards reduced from 6.25 BTC to 3.125 BTC. If we are accustomed to hearing that halving allows a reduction in inflation (and therefore an appreciation of the asset), we can ask whether the share price tends to rise, stagnate or fall before this date important.
Of course, the answer isn’t that easy to give, but we can look at the latest Bitcoin cycles. Here is a comparative chart from the DecenTrader website:
During the first cycle (2013), from this date onwards, the Bitcoin price took the opportunity to climb before halving. For the second cycle, however, the situation is slightly different. In fact, the course Covid crashand this black swan upset the price trend for a few weeks. Before this black swan, the BTC price was climbing, and it is likely that the price would have continued to rise as it did during the first cycle.
A comparison with recent cycles suggests that the Bitcoin could rise before the next halving. However, the price could surprise us, and not follow recent cycles.
Bitcoin price stagnates below resistance at $29,800
Buyers and sellers neutralize each other below the resistance zone at $29,800. To regain a upward momentum in 4Hthe price should resume the 29,800 zone as supportand close above 30 240 $ :
A close of this kind would allow the price to return to the range between $29,800 and $31,500. On the other hand, if sellers push BTC further back, the price could fall towards the support at $28,500. Whatever happens, buyers must defend the last low marked at 28 580 $ to avoid continuing on the downward trend in 4H time unit. The RSI continues to move above the bullish trendlineThe trendline should continue to show rising highs and lows.
Looking at Bitcoin’s recent cycles, it’s not hard to imagine the price rising before the next halving. Also, this is an extremely positive event for BTC, and traders could decide to accumulate BTC. In the short term, Bitcoin remains stuck below the resistance zone at $29,800. This level should be taken back as support to avoid a new downtrend.
Up close to Bitcoin news
Take advantage of the market’s low-cost crypto buying opportunities! Don’t miss the opportunity of a lifetime, register now on the Binance platform. Save 10% on your trading fees by following this link (commercial link).