- Bitcoin (BTC/USD) surpassed and closed above $30,000 this week.
- On June 20, Fidelity National Financial (FNF), Charles Schwab Corporation (SCHW), and Citadel Securities, a major designated market maker, established the EDX exchange platform.
- Bitcoin Cash (BCH) has more than doubled in value in the week following its listing on EDX Markets.
- Ethereum is still battling to break beyond the $1,920 mark.
- The Bitcoin Fear & Greed Index currently has a value of 60 or higher.
- Investors are eagerly awaiting Federal Reserve Chair Jerome Powell’s Wednesday appearance before a European policy panel to gather insight into interest rate trends.
Bitcoin’s price was down 0.9% over the previous 24 hours and was trading near $30,150 on Monday. This was a decline from its high of last Friday when BTC reached a one-year high of almost $31,500. Investors came to terms with the facts that any SEC approval was months away, possibly longer, and that macroeconomic indications were still uncertain, which led to the dissolution of the impetus from multiple spot bitcoin filings by BlackRock and other financial services firms that had propelled the asset higher. ADA and SOL were both down more than 4%, but Bitcoin Cash rose nearly 16% to a new one-year high. After being listed on EDX Markets, BCH, which forked from Bitcoin, rallied more than 100%.
U.S. stock markets started the week on an unfavorable note, with the tech-focused Nasdaq Composite and the S&P 500 ending down 1+% and 0.4+%, respectively. Both the return on 10-year U.S. Treasury bonds and the price of gold, which is seen as a safe haven, went up by a small amount. Most individuals don’t realise that ETF approval, assuming it comes, will take time. BlackRock’s backing may increase authorities’ pressure to approve this vehicle. We’re also seeing traditional asset managers file ETFs, which is good for future asset class access.
Cryptocurrency’s Fear and Greed Index:
The “Fear & Greed Index” is a metric that measures investor sentiment in the Bitcoin and broader cryptocurrency markets. The metric represents this sentiment using a numeric scale ranging from 0-100. All index numbers above 60 indicate that investors are currently greedy, while those below 40 indicate the prevalence of fear in the market. The in-between area (values 40-60) represents a neutral mentality.
Since last Thursday, Bitcoin (BTC) has gained more than 20% in value. Here is the current state of the Bitcoin Fear & Greed Index, according to statistics.
As seen above, the Bitcoin Fear & Greed Index currently has a value of 60+. This shows that the majority of investors are currently greedy.
Bitcoin Price Analysis:
The bears are defending $31,000. The bulls are holding the price over the psychological $30,000. Lower-priced purchases have increased, according to data. If bullish momentum pushes the BTC/USDT pair past the resistance zone from $31,000 to $31,500, it would signal the start of the next rising trend. Currently, $32,400 is a moderate resistance level. However, this resistance level may not be strong enough to maintain price movement for long.
Bearish participants must push the price below $30,000 to stop the upward trend. Given present market conditions, the pair may fall to the support zone from $29,600 to $28,500. Market participants must actively monitor this level due to its importance. If the pair breaks below the $28,500 level, it may fall to $27,812
Concluding Thoughts:
Bitcoin price may find long-term support near $26,000-$29,000 if Bitcoin ETF applications grow. Institutional investors appear to be interested in Bitcoin’s strong price action and the recent rush by numerous organizations to apply for a Bitcoin spot exchange-traded fund. Most people don’t realize that ETF approval may take a while. Because BlackRock sponsors this vehicle, authorities may feel additional pressure to approve it. Other traditional asset managers are filing ETFs, which bodes well for future asset class access. Since ETFs are promising, bitcoin prices may grow. Despite the coin’s volatility and macro issues including high inflation and recession, more investors will have access to crypto investments with reduced risks if permitted. The International Monetary Fund economists said prohibiting crypto assets “may not be effective in the long run,” which might make Bitcoin investing available again to such governments.
A spot Bitcoin ETF will allow investors to have exposure to Bitcoin without having to buy and store it. BlackRock ETFs are liquid, allowing investors to enter or leave positions quickly and at fair market values. Knowing the ETF is regulated like equities reassures investors.
