Prices Recover Hours after Amun Bitcoin ETF Approval

Latest Bitcoin ETF

After 10 years of evolution, adaptation and maturity, Bitcoin is no longer a “fad”. By the general definition of money, Bitcoin is the future. BTC is the perfect store of value, a unit of account, fungible and most importantly acts a medium of exchange.

Aside from being a global phenomenon, the security, privacy and its general traction may be the reason why the main exchange in Switzerland gave the green lights for the world’s first Bitcoin ETF, Amun Crypto ETP. The Bitcoin ETF shall go live in the next few days and the official partners, Jane Street and Flow Traders—market markets shall ensure there is enough liquidity once it rolls out.

This is indicative and cements the direction institutions are taking as they position themselves ahead of the coin’s massive adoption. The Amun Crypto ETP shall comprise of Bitcoin and four other liquid coins as Litecoin and XRP.

Interesting Read: In 2017 Bitcoin Went From $5.5k to $19k in 33 Days, Not Impossible in 2019

However, BTC shall make up half of the ETF opening up doors for institutions to pour their money into a product that meet the same stringent measures as traditional ETF. Overly, the market is expectant that the SEC might go ahead and approve the Van Eck ETF as that will perhaps be the only route to tame and satisfactorily regulate the crypto market.

You May Like: Bitcoin ETF Hopefuls Speak to SEC in Closed-Door Meeting

BTC/USD Price Analysis

Weekly Chart

Thing is, Bitcoin is stable and week over week losses are low. After recording upwards of 20 percent weekly losses on Nov 14, prices have been steady and are now just 14 percent down in the last week. These higher highs point to BTC demand in lower time frames perhaps in response to the approval of the first Bitcoin ETF and the expectation of institutional involvement.

Overly, BTC/USD is technically bearish and could sink to new levels as prices trade in line with the bear breakout pattern that saw several support levels crashed in the last few days. Of note is the high level of market participation confirming bears of the last 11 months.

Unless otherwise there are rapid gains above $6,000, traders should be unloading BTC on every pullback. Ideal stop lies at $6,200 with first sell target at $4,500.

Daily Chart

Like historical patterns, BTC/USD prices could recover in response to rapid losses of Nov 14. In that case, aggressive traders should pause their trading as BTC/USD bulls try to recoup losses as prices strike a natural equilibrium.

Regardless of these lower time frames higher highs, the general trend has been set following last week’s declines. Ideal sell zone lies between $5,950 and $6,200 and depending on where bears pick up, safe stops would be at $6,200—the upper level of our resistance level.

All Charts Courtesy of Trading View

Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.



Source link

Spread the love

Related posts

Leave a Comment