The post BTC Price Contains Losses At $42,000 On Bitcoin ETF Hopes, What’s Next? appeared on BitcoinEthereumNews.com.

Bitcoin (BTC) along with the broader cryptocurrency market entered a strong retracement on Tuesday, December 26. The Bitcoin price dropped some odd 3%, however, it has contained well above the $42,000 level. Bitcoin ETF Developments on Radar Bitcoin experienced a pullback as traders evaluated potential reactions in the cryptocurrency markets following regulatory decisions on the approval of the first US exchange-traded funds directly investing in the token. A key consideration is whether the actual approval of these products will trigger profit-taking, aligning with the adage that investors tend to “buy the rumor and sell the news.” In simpler terms, the impact of potential interest in spot Bitcoin ETFs from entities like BlackRock Inc. and Fidelity Investments remains uncertain. There is a high level of confidence in the market that the U.S. Securities & Exchange Commission (SEC) will approve spot Bitcoin ETFs before January 10, according to Nic Carter, founding partner at Castle Island Management LLC. He mentioned on Bloomberg Television that these funds are expected to attract a broader range of crypto investors in the medium term. However, Carter also highlighted the potential for a “news selling event” in the short term. Amid the anticipation of early approval of Bitcoin ETFs, BTC whales have started moving their holdings in huge numbers. What’s Next for the BTC Price Ahead? As we approach the end of the year, it is advisable to exercise caution and prepare for possible volatility in the coming week. Factors contributing to potential market fluctuations include year-end flows, expiries of options and futures contracts, and the overall market environment characterized by thin liquidity due to the holiday season. Traders and investors should remain vigilant and adapt their strategies accordingly in light of these considerations. Greg Moritz, co-founder at crypto hedge fund AltTab Capital said: “The main thing we…

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Filed under: News - @ December 27, 2023 11:16 am