Blockchain

Wyckoff Analysis (WA) aims to understand why prices of stocks and other market items move due to supply and demand dynamics. It typically is applied to any freely traded market where larger or institutional traders operate (commodities, bonds, currencies, etc.). In this article we will apply WA to the cryptocurrency Storj ($STORJ) to make a forecast for approximate future events.

Link to the raw image: https://www.tradingview.com/x/BGsOkzGM

Storj is currently in Phase E of a Wyckoff Distribution Schematic #1. StockCharts says this about Phase E in their article on the Wyckoff Method:

Phase E depicts the unfolding of the downtrend; the stock leaves the TR and supply is in control. Once TR support is broken on a major SOW, this breakdown is often tested with a rally that fails at or near support. This also represents a high-probability opportunity to sell short. Subsequent rallies during the markdown are usually feeble. Traders who have taken short positions can trail their stops as price declines. After a significant down-move, climactic action may signal the beginning of a re-distribution TR or of accumulation.

The trading range for Storj was $1 – $1.12 and it has concretely fallen below that. From the picture below a major SOW has occurred, more so pointing to a Distribution occurring. This also coincides with our analyst’s Elliott Wave (EWT) view on Storj. They predict a small rally as Storj continues to fall in its Wave 2. The majority of the liquidity (per its relevant Volume Profile) is between the 38.2% and 61.8%  LFR at $0.56 and $0.76 respectively. A liquidity cluster is typically expected between these LFRs in EWT leading us to the think a Wave 2 correction is happening. Additionally, the cluster is in the price range of the subwave 4, an EWT guideline.

Link to the raw image: https://www.tradingview.com/x/dD8hv9Aj

Below is the typical schematic for a Wyckoff Distribution Schematic #1.

Glossary

All quotes are from the first link in Supplemental Reading.

Preliminary Supply (PSY) – “where large interests begin to unload shares in quantity after a pronounced up-move”

Buying Climax (BC) – large operators selling their shares while the public buys them at a premium during a period of huge demand

Automatic Reaction (AR) – “With intense buying substantially diminished after the BC and heavy supply continuing, an AR takes place”

Secondary Test (ST) – when “price revisits the area of the SC to test the supply/demand balance at these levels”

Upthrust After Distribution (UTAD) – “a definitive test of new demand after a breakout above TR resistance”

Test – where larger traders “test the market for supply throughout a TR”

Sign of Weakness (SoW) – “a down-move to (or slightly past) the lower boundary of the TR, usually occurring on increased spread and volume”

Last Point of Supply (LPSY) – “exhaustion of demand and the last waves of large operators’ distribution before markdown begins in earnest”

Elliott Wave Theory (EWT)

“A theory in technical analysis that attributes wave-like price patterns, identified at various scales, to trader psychology and investor sentiment.”

Source: “Elliott Wave Theory: What It Is and How to Use It” by James Chen (2023)

Logarithmic Fibonacci Retracement (LFR) – A measured correction at certain Fibonacci ratios on a semi-log scale.

Logarithmic Fibonacci Extensions (LFE) – A measured rally at certain Fibonacci ratios on a semi-log scale.

Supplemental Reading

“The Wyckoff Method: A Tutorial” by Bogomazov & Lipsett

“Reaccumulation Review” by Bruce Fraser (2018)

“Jumping the Creek: A Review” by Bruce Fraser (2018)

“Distribution Review” by Bruce Fraser (2018)

“Introduction to Point & Figure Charts” from StockCharts

“P&F Price Objectives: Horizontal Counts” from StockCharts

“The Wyckoff Methodology in Depth” by Rubén Villahermosa (2019)

“Wyckoff 2.0: Structures, Volume Profile and Order Flow” by Rubén Villahermosa (2021)

“Elliott Wave Principle – Key To Market Behavior” by Frost & Prechter (2022)

The Bitcoin Cash (BCH) blockchain’s hard fork, BSV, has been making record-breaking gains. With a price surge of more than 70% as of this writing, the cryptocurrency hit $84.8, a level not seen since April 2022.

The spike may be attributed to the prevailing optimistic market sentiment, however there are other factors at play for Bitcoin SV.

BSV’s Surge: South Korea Dominates

With this latest surge, BSV’s monthly gains have surpassed 82%, and its trading volume has risen noticeably to over $770 million. This rise appears to be influenced by the persistently optimistic market sentiment in the larger cryptocurrency market, with South Korean investors especially playing a significant role.

Upbit, a well-known cryptocurrency exchange in South Korea, was responsible for $515 million worth of BSV trades in the last day, according to CoinGecko data. With more than 67% of the transaction volume, it commands a huge proportion. This suggests that South Korean investors are interested in BSV.

At the time of writing, Bithumb, another well-known cryptocurrency trading platform in Asia, accounted for about 5% of all trades in the asset. By itself, South Korean cryptocurrency traders accounted for more than 75% of BSV’s entire trading volume on the previous day.

In 2018, Craig Wright initiated the creation of BSV by implementing a hard fork of BCH, which itself had undergone a hard fork from the original BTC chain in August 2017. Nevertheless, the asset has sparked significant debate as its originator asserts to be the true Satoshi Nakamoto, yet fails to provide definitive proof.

BSV Surges 80% Amidst ETF Anticipation

The market’s widespread excitement around the potential approval of a spot Bitcoin exchange-traded fund (ETF) in the US is one factor contributing to the rising value of BSV. As a result, throughout the last 30 days, the value of the Bitcoin fork has increased by nearly 80%.

To stop illicit activity in the space, South Korea recently made the decision to create a framework for crypto regulations. Furthermore, a December 27 update disclosed that the nation has mandated public officials to disclose their cryptocurrency holdings, marking a noteworthy advancement in the regulation of the space.

Given the sense of security that comes with operating in a regulated industry, investors may have taken notice of these developments.

Meanwhile, BSV is still down 82.29% from its all-time high in 2020, when it was among the largest cryptocurrencies by market capitalization, despite the coin’s recent price increase.

Often referred to as “Satoshi’s Vision” for Bitcoin, BSV experienced a little decline in its market value following a Coinbase statement. The top US cryptocurrency exchange said that, as of January 9, 2024, it will no longer support Bitcoin SV.

In October of last year, BSV was the victim of an empty block mining attack. An empty block attack occurs when miners consciously choose to omit transactions from the blocks they verify, slowing down the network for users in the process.

Featured image from Shutterstock

The Solana price growth for the past few months seems to have hit a barrier just above the $120 price level. The price of Solana (SOL) fell around 8% on Thursday to about $98, showing the sheer volatile nature of the crypto market. 

As a result, Solana slipped below BNB in market cap rankings, as the latter rallied 9% to take back the fourth spot. According to on-chain data, there’s been an increase in transfers of what looks like profit-taking from Solana whales. 

Large Whale Sells $38.2 Million in SOL Tokens

When whales move a lot of crypto, they can really shake things up. According to Lookonchain, an anonymous investor deposited 303,756 SOL tokens worth approximately $38.2 million on Binance, possibly as part of a selloff. Further details show this particular whale has made strategic SOL trades in the past, making huge profits. 

The whale withdrew 19,704 SOL from Binance on Sept 29. Solana was trading at $20 during this time, making the transfer worth approximately $394,000. The whale would then deposit it into Binance at $43 per token on Nov 8, making $453,000, a 115% profit. Data from Lookonchain shows that the address still has 119,998 SOL tokens worth $12.44 million staked, and is sitting on over $17 million unrealized profit.

A whale deposited 303,756 $SOL($32.8M) to #Binance today, possibly selling it for profit.

The whale withdrew 423,754 $SOL($28.18M) at $66.5 from #Binance in the past 1 month.

And still has 119,998 $SOL ($12.44M) staked, the profit exceeding $17M!

This whale also withdrew… pic.twitter.com/Sptfj7uUIa

— Lookonchain (@lookonchain) December 28, 2023

Speculation that other large holders of SOL, known as “whales,” sold off portions of their holdings recently may have contributed to the recent price dip. Similar social media posts from whale transaction tracker whale alerts have shown various large SOL transfers from private wallets into crypto exchanges on Thursday, suggesting whales locking in profits or reducing their exposure to the token.

Two of the most notable transactions were the transfer of 1,832,958 SOL worth $182.9 million from an unknown wallet to Coinbase and the transfer of 114,046 SOL worth $11.5 million from another private wallet to Coinbase.

1,832,958 #SOL (182,951,373 USD) transferred from unknown wallet to #Coinbasehttps://t.co/7h1GmobutZ

— Whale Alert (@whale_alert) December 28, 2023

114,046 #SOL (11,536,447 USD) transferred from unknown wallet to #Coinbasehttps://t.co/5giZek1q0Z

— Whale Alert (@whale_alert) December 28, 2023

Trading data also suggests traders were moving funds out of SOL to stablecoins. As a result, Solana’s price cascaded and fell from $110 to $98 in 24 hours. 

Current State Of Solana

The SOL community and ecosystem have witnessed one of the best price growth this year. Over the past 24 hours, around $18.6 million worth of Solana positions were liquidated, with $10.42 million coming from leveraged long positions, data from CoinGlass shows. This profit-taking sentiment seems to have rolled over into BONK, Solana’s first dog-themed meme token, which is now 50% down from its all-time high.

Solana has since recovered some of the loss, and is now trading at $108, showing the crypto hasn’t lost all of its bullish momentum. Solana recently reached a yearly high of $123.76 on December 25, its highest point in 20 months.

XRP whales are on the move again, as on-chain data reveals that the crypto asset has witnessed a massive whale activity in the past day, which has led investors and the crypto community to ponder on the reasons behind these large transactions.

Whale Transfers 47 million XRP To Cryptocurrency Exchanges

A report has shown that a whale has shifted approximately 47 million XRP tokens to crypto exchanges. Data from the on-chain tracker Whale Alert revealed the funds were moved to centralized exchanges (CEXs) in two distinct transfers. 

The two whale transactions came in light of the token experiencing a price decline. The first transfer saw about 24,800,000 XRP tokens valued at $15,463,840 being moved to the crypto exchange Bitso. Data from the on-chain tracker shows that the unknown wallet address r4wf7enWPx…5XgwHh4Rzn made the move 11 hours ago.

The second transaction shifted about 23,800,000 XRP which was valued at $14,840,298 at the time of transfer. Whale Alert reported that the same wallet address mentioned above also made the transfer to another crypto exchange Bitstamp.

This is not a surprise as the stated wallet has been making such huge transfers to both Bitso and Bitstamp exchanges. On Wednesday, December 27, the same wallet address was reported moving over 49 million XRP to the centralized exchanges.

The whale transaction also took place in two distinct transfers. The wallet address moved 22.90 million XRP valued at approximately $14 million to Bitstamp. Meanwhile, the second transaction was reported to have witnessed 16.50 million XRP worth about $10.43 million moved to the Mexican-based exchange Bitso.

The movement of XRP to the stated CEXs via the same wallet address has become a regular occurrence in the cryptocurrency space.  This might be due to Ripple‘s strategic partnership with Bitstamp and Bitso, in which the CEXs make use of Ripple’s payment services.

Could The Price Of The Crypto Asset Reach $2,500?

Crypto expert Egrag Crypto recently revealed an intriguing story of his conversation about the pricing of XRP with a prominent banker. The analyst shared the story with the entire crypto community on the social media platform X (formerly Twitter).

The conversation revolved around the token, as both figures examined how the altcoin might reach a value of $2,500 soon. The discussion arose when the banker challenged Egrag to clarify how 40,000 XRP could ultimately equal $100 million.

Taking up the challenge, Egrag showed the banker how the asset would reach $2,500 using a chart he posted alongside. According to the chart, the token might reach this price level by 2029. 

Due to this, the banker has considered the digital asset a long-term investment, as he believes it could result in enormous gains by then.

Currently, the token’s price is sitting at $0.629, indicating a decline of about 1.60% in the past 24 hours. Its trading volume is also down by over 20%, while its market cap is down by 1.68%.

The global cryptocurrency market value has retraced to over $1.72 trillion, suggesting that the cryptocurrency industry has lost some of its momentum in the last day. Furthermore, MATIC has not seen any tiny losses, in contrast to the majority of prominent digital assets, such as Bitcoin.

As the Polygon protocol’s supporters push for new yearly highs, MATIC is experiencing a seismic change within its ecosystem, which has caused its price to soar by more than 20% in early trading on Thursday.

MATIC Breaches $1 Barrier

Based on the several milestones in its ecosystem, Polygon has been indicating that it is prepared to overcome the critical $0.9 pricing threshold.

Following an initial upward trend, MATIC made an unsuccessful attempt to break out in February 2023. Before the price broke out this week, there were two more failed breakout efforts in November and December.

The $1.07 peak on Wednesday is the highest since April. It is noteworthy that MATIC has failed to close each week above the resistance trend line.

Furthermore, some analysts say that MATIC may soon reach new peaks as it tries to keep a solid footing within – or even past – the $1 territory. Doctor Profit, a user on Twitter, is among those who endorse such theory.

$MATIC is one of the most undervalued projects out there. If I wouldnt have bought tons of it at $0.50 I would heavily enter now as anything below $1 is a gift

Sooner or later its an easy double digit coin in the incoming bull. One of my favorite coins

— Doctor Profit (@DrProfitCrypto) December 26, 2023

The expert called Polygon’s coin “one of the most undervalued projects” in the market and asserted that traders and investors should view its price below $1 as a “gift.”

Another expert, renowned cryptocurrency researcher Ali Martinez, shows that, based on his evaluation, MATIC is emerging from a symmetrical triangular formation.

Martinez thinks that a strong upward advance that might push MATIC towards the $1.73 price level could occur if Polygon is able to maintain a weekly candlestick close above the $0.96 threshold.

#Polygon is on the verge of a breakout from a symmetrical triangle. A sustained weekly candlestick close above $0.96 could propel $MATIC towards $1.73! pic.twitter.com/IZQHpSuqO6

— Ali (@ali_charts) December 26, 2023

Optimistic Outlook: MATIC’s Promising Trajectory

According to this analysis, Polygon has a bright future ahead of it, especially if some important thresholds are broken.

The X cryptocurrency community is optimistic about the future of the MATIC price trend. After bouncing off a long-term support region, Pentosh1 predicts the price will keep moving upwards.

$MATIC

You can’t not like this setup. Have no idea how long it it will take to play out, just that it likely will probabilistically speaking

Historical support confluence, bull flagging for more. Yet to run but starting to find it’s flippers https://t.co/AMI5e9wxZA pic.twitter.com/RESMqmHGeI

— Pentoshi euroPeng (@Pentosh1) December 26, 2023

Meanwhile, Polygon’s trading volume has recently increased dramatically. According to DefiLlama, it crossed the $150 million milestone since the middle of the month and reached around $400 million on December 26.

With its impressive performance, Polygon’s native token MATIC has drawn attention as the protocol’s trading volume reaches a new milestone.

Featured image from Shutterstock

Solana rallied above the $100 and $110 levels. SOL price is now correcting gains, but the bulls might remain active near the $100 level.

SOL price started a fresh rally above the $100 resistance against the US Dollar.
The price is now trading above $100 and the 100 simple moving average (4 hours).
There is a key bullish trend line forming with support near $102 on the 4-hour chart of the SOL/USD pair (data source from Kraken).
The pair could start a fresh rally unless there is a close below the $100 support.

Solana Price Remains In Uptrend

In the past few days, Solana saw a major upward move above the $90 and $100 levels, unlike Bitcoin and Ethereum. SOL even rallied above the $120 level.

A new multi-week high was formed near $126.13 and the price is now correcting gains. There was a move below the $115 and $112 levels. The price declined below the 23.6% Fib retracement level of the upward move from the $67.25 swing low to the $126.13 high.

SOL is now trading above $100 and the 100 simple moving average (4 hours). There is also a key bullish trend line forming with support near $102 on the 4-hour chart of the SOL/USD pair.

Source: SOLUSD on TradingView.com

On the upside, immediate resistance is near the $112 level. The first major resistance is near the $120 level. The main resistance is now near $125. A successful close above the $125 resistance could set the pace for another major rally. The next key resistance is near $132. Any more gains might send the price toward the $145 level.

More Losses in SOL?

If SOL fails to rally above the $120 resistance, it could continue to move down. Initial support on the downside is near the $100 level.

The first major support is near the $90 level or the 61.8% Fib retracement level of the upward move from the $67.25 swing low to the $126.13 high, below which the price could test $80. If there is a close below the $80 support, the price could decline toward the $68 support in the near term.

Technical Indicators

4-Hours MACD – The MACD for SOL/USD is losing pace in the bullish zone.

4-Hours RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Major Support Levels – $100, and $92.

Major Resistance Levels – $115, $120, and $125.

Ethereum price is correcting gains from the $2,440 zone. ETH is correcting gains, but the bulls might remain active near the $2,300 and $2,240 support levels.

Ethereum is correcting gains and trading below the $2,400 level.
The price is trading above $2,320 and the 100-hourly Simple Moving Average.
There is a bullish flag forming with resistance near $2,360 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could start a fresh increase if there is a close above the $2,400 level.

Ethereum Price Remains Supported

Ethereum price climbed higher above the $2,320 resistance zone. ETH even broke the $2,400 level before the bears appeared. A high was formed near $2,441 before the price started a downside correction, like Bitcoin.

There was a move below the $2,400 and $2,380 levels. The price declined and tested the 50% Fib retracement level of the upward wave from the $2,180 swing low to the $2,441 high. The bulls seem to be active near the $2,320 support zone.

Ethereum is now trading above $2,320 and the 100-hourly Simple Moving Average. On the upside, the price is facing resistance near the $2,360 level. There is also a bullish flag forming with resistance near $2,360 on the hourly chart of ETH/USD.

Source: ETHUSD on TradingView.com

The first major resistance is now near $2,400. A close above the $2,400 resistance could send the price toward $2,440. The next key resistance is near $2,500. A clear move above the $2,500 zone could start another increase. The next resistance sits at $2,620, above which Ethereum might rally and test the $2,750 zone.

More Losses in ETH?

If Ethereum fails to clear the $2,400 resistance, it could continue to move down. Initial support on the downside is near the $2,320 level and the 100 hourly SMA.

The first key support could be the $2,240 zone or the 76.4% Fib retracement level of the upward wave from the $2,180 swing low to the $2,441 high. A downside break and a close below $2,240 might start another major decline. In the stated case, Ether could test the $2,165 support. Any more losses might send the price toward the $2,120 level.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now near the 50 level.

Major Support Level – $2,320

Major Resistance Level – $2,400

Bitcoin price failed again to clear the $44,000 resistance zone. BTC is declining and might be at risk of a downside break below the $41,500 level.

Bitcoin is slowly moving lower from the $43,800 resistance zone.
The price is trading below $43,000 and the 100 hourly Simple moving average.
There is a key bearish trend line forming with resistance near $42,550 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could continue to decline if it stays below the $43,000 level.

Bitcoin Price Takes Hit

Bitcoin price made a fresh attempt to gain pace above the $43,200 level. BTC climbed above the $43,500 level, but it struggled to reach the $44,000 resistance zone.

A high was formed near $43,792 and the price started a fresh decline. There was a clear inverted V pattern formed and the price declined below the $43,200 level. The bears were able to push the price below the 50% Fib retracement level of the upward move from the $41,637 swing low to the $43,792 low.

Bitcoin is now trading below $43,000 and the 100 hourly Simple moving average. It is also consolidating below the 61.8% Fib retracement level of the upward move from the $41,637 swing low to the $43,792 low.

On the upside, immediate resistance is near the $42,500 level. There is also a key bearish trend line forming with resistance near $42,550 on the hourly chart of the BTC/USD pair. The first major resistance is $43,000. A close above the $43,000 level could send the price further higher.

Source: BTCUSD on TradingView.com

The main hurdle sits at $43,250. A close above the $43,250 resistance could start a decent move toward the $43,800 level. The next key resistance could be near $44,000, above which BTC could rise toward the $45,000 level.

More Losses In BTC?

If Bitcoin fails to rise above the $43,000 resistance zone, it could continue to move down. Immediate support on the downside is near the $42,150 level.

The next major support is near $41,650. If there is a move below $41,650, there is a risk of more losses. In the stated case, the price could drop toward the $40,500 support in the near term.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $42,150, followed by $41,650.

Major Resistance Levels – $42,550, $43,000, and $43,800.

In its recently released 2023 review report, Binance, the world’s leading cryptocurrency exchange, showcased significant growth despite facing legal disputes and regulatory scrutiny. 

The report highlighted the evolving crypto market, increasing institutional interest, and the company’s commitment to compliance and user experience.

Binance’s 2023 Review

Despite a volatile year for the market, Binance emphasized that digital asset regulation had taken a direction toward greater clarity and harmonization in some regions. 

The exchange acknowledged the challenges but noted that Web3 adoption and institutional interest continued to grow steadily, demonstrating the industry’s resilience and long-term potential.

Regarding growth within the company, Binance Square, formerly known as Binance Feed, was introduced as a social platform designed to be the central hub for Web3 content. 

According to the report, the platform experienced substantial growth, expanding from 1,200 to 11,000 creators and attracting over 1.6 million active daily users. Binance Square aimed to facilitate conversations and enable users to generate “compelling content,” fostering engagement within the Web3 community.

In October, Binance Futures launched its Copy Trading feature, allowing users to replicate the trading strategies of expert lead traders. This feature provided a monetization avenue for trading experts and added a social aspect to the trading experience of the platform users.

Furthermore, Binance continued its support of fiat currencies, reaching 69 supported fiat currencies with 30 fiat channels available globally. 

Binance P2P, the peer-to-peer trading platform, expanded the number of supported payment methods to 970 and fiat currencies to 112. The report highlights that the platform facilitated 18% more trades with 39% more users than the previous year.

The report further noted Binance’s commitment to compliance, with a significant investment of $213 million in its compliance program, a 35% increase from the previous year. 

Binance allocated substantial resources to develop in-house compliance tools, including a case management system and an internal transaction monitoring engine. 

Is Binance Leading The Way In Crypto Venture Funding?

Per the report, in 2023, Binance focused on enhancing user experience by partnering with localized KYC (know-your-customer) vendors and implementing various electronic ID (eID) solutions globally. 

The exchange added support for 298 new ID and proof-of-address documents across 64 countries, streamlining the onboarding process for users.

To make Web3 “more accessible,” the report notes that Binance launched its Web3 Wallet, which aims to provide a “secure” gateway into the world of decentralized finance (DeFi). The platform aimed to address usability barriers and attract new users by offering improved product and user experience across DeFi, blockchain gaming, and SocialFi.

Ultimately, while the crypto venture funding market faced challenges in 2023, Binance Labs emerged as one of the most active participants in the crypto venture capital (VC) space, particularly in the DeFi and Web3 gaming sectors, according to the exchange.

Overall, Binance’s 2023 Review Report highlights the company’s focus on compliance, user experience, and expanding Web3 offerings as key to continued growth despite ongoing legal issues and regulatory enforcement actions.

As of the current update, Binance Coin (BNB) demonstrates a significant upward trend in price action, surging to $330. This surge represents a 21% increase over the past seven days.

Featured image from Shutterstock, chart from TradingView.com 

A recent report from CryptoQuant has sparked discussions, suggesting that a Bitcoin spot exchange-traded fund (ETF) approval by the US Securities and Exchange Commission (SEC) could lead to a significant market event.

This possibility arises amid the Bitcoin (BTC) price stabilizing above $40,000, leaving many market participants sitting on substantial unrealized profits.

The report by CryptoQuant particularly posits that this scenario could trigger a “sell the news” event, historically linked to market corrections.

Bitcoin Possible Drop To $32,000

CryptoQuant’s analysis points to the current state of Bitcoin holders as a reason for the possible drop in BTC price when the approval of spot Bitcoin ETF happens.

Particularly the short-term ones, experiencing unrealized profit margins of around 30%. According to CryptoQuant, such high-profit levels have often preceded price drops.

Additionally, the report notes an uptick in selling activity from Bitcoin miners, adding to the potential sell pressure on BTC. This, combined with the market’s anticipation of a spot Bitcoin ETF approval, could create a volatile environment, as highlighted by CryptoQuant.

Based on CryptoQuant’s analysis, during downturns within bullish markets, Bitcoin’s value often falls back to the level where short-term investors have historically realized their prices.

Considering this, the report suggests that in a scenario where “sell the news” occurs, Bitcoin’s value might see a downturn, with a possible dip to around “$32,000.”

Contrasting Views And Support Levels Amid ETF Speculations

The conversation around a Bitcoin spot ETF’s potential approval is not one-sided. Several analysts predict a positive outcome, with firms like Matrixport and prominent analysts like Michael van de Poppe suggesting that the approval could catapult Bitcoin’s price to new highs.

Matrixport anticipates that the approval of Bitcoin spot ETFs by the US SEC could drive BTC’s value to around $50,000 in early 2024. Van de Poppe echoes this sentiment, foreseeing a potential rise to the $47,000-$50,000 range.

#Bitcoin did test the lows, didn’t take the liquidity beneath the lows.

Anyway, correction seems over and pre-ETF we’re likely to test $47-50K.

Buy the dips. pic.twitter.com/Ar4mqvYRjJ

— Michaël van de Poppe (@CryptoMichNL) December 19, 2023

Additionally, while CryptoQuant predicts a possible drop to $32,000, other analysts’ prediction of BTC bottom doesn’t go that low. Analyst Ali, for instance, has highlighted a robust support zone between $37,150 and $38,360.

In case of a deeper correction, #Bitcoin finds solid support between $37,150 and $38,360. This zone is backed by 1.52 million addresses holding 534,000 $BTC.

Also, watch out for two resistance walls that could keep the #BTC uptrend at bay: one at $43,850 and another at $46,400. pic.twitter.com/NGm1XpMOLf

— Ali (@ali_charts) December 11, 2023

This range is reinforced by the activities of approximately 1.52 million addresses holding about 534,000 BTC. Notably, such a strong foundation of support might mitigate the risks of a drastic price fall even if a “sell the news” event were to occur following the spot ETF approval.

Featured image from Unsplash, Chart from TradingView