In a recent analysis, crypto expert Ali Martinez pointed out that Bitcoin has established a robust support zone at $42,000, supported by 2.48 million addresses holding more than 1.12 million BTC. The digital currency could potentially target $55,000 if it successfully breaches the $48,000 resistance, as indicated by on-chain data revealing a clear path ahead with no significant supply zones in sight.
However, the cryptocurrency market has recently experienced turbulence due to conflicting information regarding spot Bitcoin exchange-traded funds (ETFs). Several asset managers filed last-minute Form S-1 updates for their spot Bitcoin ETFs with the United States Securities and Exchange Commission (SEC).
On January 9th, the official Twitter account of the SEC (@SEC) posted an announcement claiming the approval of spot BTC ETFs. The tweet hailed this as the first-time approval of such ETFs by the regulatory body. However, confusion arose when SEC Chair Gary Gensler swiftly contradicted the post, clarifying that the commission had not endorsed the listing and trading of spot Bitcoin exchange-traded products.
Gensler took to the social media platform X (formely Twitter) to announce that the SEC’s official account had fallen victim to unauthorized access, leading to the dissemination of a false message. He emphasized that the SEC had not approved any BTC ETFs and disavowed the misleading information. This incident raised concerns within the crypto community and prompted an immediate investigation into the security breach.
Bitcoin Price Analysis & Prediction
The confusion surrounding the SEC’s stance on Bitcoin ETFs had an immediate impact on the market, with Bitcoin briefly falling 3% from $47,900 to $45,244, according to data from CoinMarketCap.
As of now, BTC is trading at $45,451, with a 24-hour trading volume of $70.43 billion and a market cap of $890.59 billion. The cryptocurrency has experienced a 2.26% decrease in the last 24 hours.
Changelly, a cryptocurrency exchange platform, predicts that despite the recent fluctuations, the average BTC rate for January 2024 is expected to be around $43,025.50. The minimum and maximum prices are anticipated to be $39,080 and $46,971, respectively.
As per Changelly’s forecast for Bitcoin’s price, there is an anticipated decline of 8.03%, projecting a potential drop by January 11, 2024. Our examination of technical indicators indicates a prevailing market sentiment of 7% Bearish, with a Fear & Greed Index registering a score of 76.
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