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Investing.com – Following a sharp plunge on Wednesday that brought it to a low of $40,500, it rebounded to a peak of $44,798 on Thursday, but now appears hesitant to continue its rebound, trading at 43,650 $ at the time of writing this article.
Recall that the crypto market was panicked on Wednesday over the release of a report from Matrixport, a crypto research company, which affirmed that the SEC will reject the Bitcoin ETF proposals that the consensus widely expects to see validate this month of January.
However, several analysts have spoken out to put the report into perspective, including Eric Balchunas, a renowned ETF specialist working at Bloomberg, according to whom the probability of seeing the SEC validate spot Bitcoin ETFs in the coming days remains 90%.
However, although this factor has indeed been put into perspective by crypto investors, other criteria weigh on digital assets, which explains why Bitcoin and its peers have not completely canceled Wednesday’s losses.
Indeed, we have seen a decline in recent days, particularly in the face of Thursday’s above expectations, and Friday’s could again push back dovish pivot bets if the data exceeds consensus. In this case, we should expect to see Bitcoin under pressure.
Technical thresholds to monitor on Bitcoin
From a graphical point of view, we note that the immediate trend of BTC/USD seems uncertain, in an underlying context which remains bullish, as evidenced by the trend line which has been stretching since October 27 on the daily chart below. below.
We will also note that several recent lows have been marked in the $40,500 zone, which combines with the psychological threshold of $40,000 to form a major support whose break would validate a bearish reversal of the trend on Bitcoin.
In this case, it is the $38,000 area that will be the next credible potential support, although the $39,000 threshold is also likely to offer support in its capacity as a psychological threshold.
On the upside, resistance can be spotted around $44,350, before the $45,000 threshold, then the January 2 high at $45,892.