Excitement is at its peak, investors are on standby, and the anticipation of something happening right before our eyes is intriguing. We have been experiencing a period of unsurprising growth for months. BTC may have broken resistance levels quite suddenly, but many of us were confident in the continuation of the rise.
The Rise of Cryptocurrencies
Following the June ETF application by BlackRock, there was a widespread belief that approval was imminent. When announcing the BlackRock news last minute, I remember writing that this was a turning point. Just like after the LUNA crash, BlackRock’s entry into the game was a sign that many things would change.
Extreme skeptics and the ‘boomers’ of crypto thought BlackRock’s involvement was bad, yet the price went in the opposite direction of their expectations. In fact, there are older people I know who understand crypto much better, so we may need to reconsider the concept of crypto boomers.
Crypto Investors Beware
If we return to our topic, BTC has indeed been experiencing an impressive rise and continues to do so. However, there are certain things that investors need to pay attention to. Especially things that should be on their minds for the next five days.
It might be much easier for the reader if we summarize these points;
- Cointelegraph incorrectly reported that the ETF had been approved. That day, it was on everyone’s mind but did not continue to be so. Some news sources may make incorrect last-minute announcements in the coming days.
- An SEC spokesperson recently said, “You will see it on our website if approval comes.” This is quite clear. And you probably won’t be able to catch up with the surge when the approval comes because many trade bots are set up on the SEC website. So, your mouse may not be able to compete with bots that operate in milliseconds.
- If the approval news comes, we may see a quick rise/fall followed by a rapid speculative move in the opposite direction. These movements will allow market makers to hunt high-leverage positions in the market with the high adrenaline at play.
- We can see very high volatility in the first few hours after the approval. However, the real movement might be seen at the first Asian market opening after the approval. Therefore, setting your stop points well and staying awake during the Asian market openings might be a good idea.
- The price may show extreme volatility and knock you out of the game by hitting your stop regions; setting your levels with this in mind could work in your favor.
- Although it seems unlikely, the SEC could still issue a rejection, in which case the major losses will occur in altcoins.
- Finally, after the ETF approval, it’s important that volumes are several hundred million dollars above in the first few trading days. If institutional demand is just a dream, we will confront that reality here.
