The driving force behind the latest move higher is the growing belief that the SEC will shortly grant a raft of spot Bitcoin ETF applications. According to Bloomberg research, there is a window between November 9 and November 17 when all twelve ETF applications could be approved. The Bloomberg analysts assign a 90% chance that a Bitcoin ETF will be approved before January 10, 2024.
Looking further ahead, the $40k level may not hold Bitcoin for long. The largest cryptocurrency by market capitalization may well accelerate higher if/when spot ETFs are approved, especially as BTC nears its latest ‘halving’ event due in late April. After the halving, the block reward for miners will be reduced by 50% to 3.125 BTC from 6.25. The weekly chart shows resistance at $40k and a fraction under $43k before a gap to $48.2k appears.
If spot ETFs are not approved, Bitcoin could quickly fall to $32.4k before $31.8k and $31.0k come into focus.
Looking further ahead, the $40k level may not hold Bitcoin for long. The largest cryptocurrency by market capitalization may well accelerate higher if/when spot ETFs are approved, especially as BTC nears its latest ‘halving’ event due in late April. After the halving, the block reward for miners will be reduced by 50% to 3.125 BTC from 6.25. The weekly chart shows resistance at $40k and a fraction under $43k before a gap to $48.2k appears.
If spot ETFs are not approved, Bitcoin could quickly fall to $32.4k before $31.8k and $31.0k come into focus.