The cryptocurrency market continues to experience volatile hours with a recent development in applications for the exchange-traded fund (ETF). At the time of writing, Bitcoin, trading at $34,600, reached its highest level in 17 months on October 24th. So, what can we expect in the near future? Let’s take a closer look.
Why Did Bitcoin Rise?
Data from TradingView highlighted that the BTC/USD pair reached its highest level of the day at $35,198. This surge reflects a 17% gain since the previous weekly close and the highest levels for Bitcoin since May 2022. Although the price of Bitcoin has lost momentum at its peak, there are discussions about the potential approval of a Bitcoin spot price ETF application in the United States. However, the crypto market has shown optimism in this regard.
Approval of the ETF, which has been postponed by US regulators for years, has been a topic of discussion following the appearance of iShares Spot Bitcoin ETF data on the website of the Depository Trust & Clearing Corporation (DTCC), responsible for clearing Nasdaq transactions. While there is no official approval from the regulatory body yet, this situation continues to be criticized.
As part of this positive news, according to data obtained from Bloomberg, publicly traded Bitcoin ETFs worldwide experienced an entry equivalent to 10% of the total inflow since the beginning of the year in a single 24-hour period. Additionally, in a publication by financial commentary source The Kobeissi Letter, it was mentioned that after the approval of the ETF application by the SEC, the likelihood of approval for many other Bitcoin ETFs is high.
Kobeissi noted that with the recent developments, the BTC/USD pair has experienced a 107% increase since the beginning of the year and has added $300 billion to its market value. He also commented that as geopolitical tensions worsen, Bitcoin will be seen as a safe haven asset.
Notable Analyst’s Insight
Considering the future expectations of Bitcoin price, an interesting disconnect between investors and market sentiment emerges. Despite the price increase, many analysts who share their views on social media remain cautious. Moreover, many still believe that a decline is imminent.
Among these analysts, Ninja, a popular analyst who warns that there is no more room for Bitcoin futures on the spot price in CME Group’s futures, stands out. According to the analyst, the $20,000 level is still on the agenda.
