For most investors, Bitcoin is always full of surprises. It never fails to surprise everyone with its unique price patterns. A few weeks ago, analysts were predicting a downward trend. But Bitcoin surprised everyone by reaching its 18-month high on Monday this week. Last week, most investors were predicting that the effects of the fake news will soon fade away.
But Bitcoin proved them wrong by sustaining the selling pressure and eventually broke out of the weekly resistance. The following Bitcoin weekly news may provide some details about how Bitcoin’s price may perform over the coming days.
Blackrock is Moving Closer to Launch the Spot Bitcoin ETF
Blackrock is swiftly taking the important steps to launch its spot Bitcoin ETF. They’ve secured the CUSIP number along with the ticker symbol (IBTC) for the Ishares Bitcoin Trust. The crypto community warmly welcomed this step when the symbol was listed on the Depository Trust and Clearing Corporation (DTCC).
BlackRock needs to seed its upcoming ETF by purchasing BTC tokens. And some analysts are predicting that BlackRock may initiate the purchase this week. However, it may still take some time to get approval from the SEC. But Bitcoin’s price has significantly surged following the positive news.
Bitcoin Price Prediction by Paul Brody
Paul Brody has stated that Bitcoin is getting a lot of attention among institutional investors. However, the rally may not begin unless a spot Bitcoin ETF is approved by U.S. regulators. He emphasized that a huge number of institutional investors are eagerly willing to invest in Bitcoin. He said that the investors may expect an inflow of trillions of dollars once the ETF is approved.
However, he explained that most of the institutional investors aren’t interested in using Bitcoin as a payment tool. They’re simply interested in using it as an investment option. Several companies like BlackRock, ARK Investment, Fidelity, and Grayscale Investments are awaiting a response from the SEC.
The analysts are now even more optimistic about the approval of a spot Bitcoin ETF following the amendments made by 21Shares and ARK Invest.
Bitcoin Price Update by Galaxy Digital
Galaxy Digital has also made a similar prediction about Bitcoin saying that Bitcoin’s price is expected to increase by 74% within a year once the spot Bitcoin ETF is approved. The overall market size of these ETFs may increase by $14.4 trillion if the ETFs are approved. The analysts are making these estimates by using gold ETFs as a reference point.
Galaxy Digital is expecting a rise of 6.2% in Bitcoin’s price within a month of a spot Bitcoin ETF approval. Bitcoin’s price may reach a target of $59,200 if the estimate of a 74% increase stands accurate. Bitcoin’s price is expected to reach a range of $42,000 and $56,000 if BlackRock’s ETF is approved.
However, these price predictions may not stand correct if the spot Bitcoin ETFs are delayed or denied. Bitcoin may experience massive gain in 2024 because there are a number of events expected such as the Bitcoin halving, ETF inflows, and changes in interest rates.
The Spot Bitcoin ETF Hype isn’t the Only Contributing Factor
Most people are attributing Bitcoin’s price hike to the spot ETF approval. But they’re forgetting that Bitcoin’s price has increased more than 100% in 2023. So, there are a number of other factors that might be contributing to Bitcoin’s growth. For example, cryptocurrency’s demand has recently increased as a safe haven asset.
Similarly, Bitcoin’s supply is also decreasing. Some experts think that the rising debt levels and increased government spending are also the factors why Bitcoin is being considered a safe-haven asset. Similarly, the geographic uncertainties have also driven the attention of major asset managers to Bitcoin.
Bitcoin is getting a lot of attention as a hedge against evolving macroeconomic risks because investors are concerned about banking troubles in the U.S. and China. It’s also worth noting that long-term investors are holding onto their Bitcoin investments for more than a year. Similarly, the 30% supply of Bitcoin has remained in the same hands for more than five years.
So, investors must keep in mind that the spot Bitcoin ETF hype isn’t the only contributing factor to Bitcoin’s price increase.
Bitcoin’s Bold Price Prediction by MatrixPort
Matrixport predicted a target of $45,000 for Bitcoin in early 2023. They’ve now reaffirmed their prediction that Bitcoin will reach this target by the end of the year. Matrixport is known for making several successful forecasts in the past. Their analysis isn’t based on FOMO but they have a really good understanding of the crypto market.
The company further explained that the breakout above $31,500, which took place in July, also supports this analysis. Although some analysts are calling it a FOMO move, Matrixport is confident about its price prediction.
Bitcoin Weekly Technical Analysis
Bitcoin has broken out of the weekly sideways channel and it has now reached the resistance zone where Bitcoin’s price struggles for approximately five months during the first half of 2022. The range between $34,500 and $48,000 is really important because it will decide Bitcoin’s direction for the coming weeks.
Bitcoin needs to maintain its strength to continue the upside move otherwise, the trend may change in this zone.
Amid geographical uncertainties, Bitconi’s resurgence to over $35,000 has captured the attention of the financial world. While the anticipation of a spot Bitcoin ETF from BlackRock fuels optimism, it’s essential to recognize that Bitcoin’s remarkable growth is not solely contingent on this factor. Factors such as rising demand for cryptocurrency as a safe haven asset, diminishing supply, and global economic uncertainties have converged to elevate Bitcoin’s status.
Amidst this excitement, investors must remember that Bitcoin’s journey is shaped by multifaceted influences, and the coming weeks hold the key to its trajectory within the crucial $34,500 to $48,000 range.
If you need regular updates about Bitcoin and the crypto market, feel free to subscribe to our weekly newsletter.