Crypto Mania

Bitcoin Faces Bearish Pressure Amidst Market Volatility

  • Bitcoin faces selling pressure with a daily RSI of 73.
  • The SEC might approve 12 spot Bitcoin ETF applications by Nov. 17.

Bitcoin, the leading cryptocurrency by market cap, is currently stirring concern as bearish signals emerge. Despite hitting an eighteen-month high of $38,012, it has faced significant price volatility over the past three days. Presently, BTC is trading at $36,559, marking a two percent decline in the last 24 hours.

Data from a well-known crypto data aggregator, IntoTheBlock, reveals an overall bearish state for Bitcoin. Metrics such as net network growth and large transactions also indicate a bearish trend. Analysts suggest that although bears are attempting a resurgence, it may prove challenging to overcome the strong bullish sentiment. Notably, BTC has surged by 37% in the past 30 days.

The focus is on the Bitcoin Exchange-Traded Fund (ETF), which often influences Bitcoin’s price movements. The United States Securities and Exchange Commission (SEC) might approve all 12 pending spot Bitcoin ETF applications by Nov. 17. Since Nov. 9, the SEC has reportedly had a “window” to approve these filings, including Grayscale Investments’ conversion of its Grayscale Bitcoin Trust product.

Simultaneously, Nasdaq, a prominent American stock exchange, filed the 19b-4 form with the securities regulator on behalf of the $9 trillion asset management firm BlackRock for a proposed ETF, the iShares Ethereum Trust.

Regarding whale activity, influential figure Ali reported that whales have been booking profits by selling or redistributing approximately 60,000 BTC over the past week, totaling roughly $2.22 billion.

Bitcoin Bears On The Horizon?

A recent analysis of price movements suggests a precarious bullish trend on the daily chart, with the 9-day exponential moving average (EMA) currently positioned below the trading price at $36,338. However, the daily relative strength index (RSI) indicates an overbought condition, standing at 73.

Bitcoin Price Chart, Source: TradingView

At the time of reporting, Bitcoin was trading at $36,668, with trading volume surging by 42% in the past 24 hours. The price has been consolidating after an unsuccessful attempt to surpass the $38,000 level, finding support around the $36,000 area.

If the price manages to breach the $37,800 mark, it is likely to test the $42,600 resistance level. Conversely, a drop below $36,210 may lead to a test of the $35,670 support level.

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