FX.co ★ Technical Analysis of BTC/USD for October 25, 2023

Crypto Industry News:

This week, the bitcoin price skyrocketed. Reason? The ticker of the iShares exchange-traded fund (IBTC), which was proposed by BlackRock, appeared on the Trust & Clearing Corporation (DTCC) depository exchange. The market took this as an announcement of the creation of a Bitcoin ETF.

The problem is that the ticker was removed from the DTCC website after a few hours. For what reason? And why did he appear there at all?

Let's start with the fact that removing the ticker itself does not mean anything bad (although the market priced it differently). The fact that the premiere of BlackRock's ETF may be fast approaching is also proven by the fact that the company has acquired CUSIP, a nine-character identification code used to settle securities transactions. According to analysts, this may mean that the giant wants to inject cash into the ETF soon.

Additionally, the SEC will not appeal the judgment regarding Grayscale. This means officials will take another look at the company's application to convert its bitcoin trust into a spot cryptocurrency ETF. If they find no other reasons to reject the application, they will agree to start the fund.

As you can see, more and more facts prove that in some time spot BTC ETFs will appear on the market.

Technical Market Outlook:

The BTC/USD pair has broken above the last swing high located at $31,790 as the new local high was made at the level of $35,227. Currently, the market is consolidating the recent gains around the level of $30k. The intraday technical support is seen at $31,790 and the intraday technical resistance is seen at $34,342. The next target for bulls is seen at the level of $37,142. The strong and positive momentum on the H4 time frame chart supports the short-term bullish outlook for BTC, however the market conditions are now extremely overbought on the H4 time frame chart.

Weekly Pivot Points:

WR3 - $32,658

WR2 - $31,572

WR1 - $31,127

Weekly Pivot - $30,486

WS1 - $30,041

WS2 - $29,400

WS3 - $28,313

Trading Outlook:

The bulls broken above the gamechanging level located at $25,442, so now the mid-term outlook for BTC is bullish. The last pull-back has reached the 38% Fibonacci retracement and the market is ready to continue the up move. The next target for bulls is seen at the level of $32,350. As long as the level of 19,572 is not clearly violated, there is a chance for a long-term up trend to continue.