© Reuters
Investing.com – After briefly celebrating the approval of Bitcoin ETFs with a high of $48,750 on Thursday afternoon, the crypto market, including BTC, has taken a downward path, and the king of digital assets is hesitant this Friday morning to remain above $46,000, or 5.6% less than yesterday’s peak.
After having been widely anticipated, which was one of the main bullish factors in recent weeks, the validation of Bitcoin spot ETFs by the SEC therefore failed to generate a major upward movement on Bitcoin, investors having therefore “sold the news after buying the rumor”.
And although this outcome was anticipated by several analysts, the inability of Bitcoin to at least test the major threshold of $50,000 in the face of the announcements indicates that caution is required with regard to the cryptocurrency.
We may indeed have to wait for the next major positive factor, namely a potential rate cut by the Fed in the coming months, to see the cryptocurrency test this key zone.
In this regard, it will be recalled that the data published above expectations from the US CPI pushed the , which also explains the weakness of Bitcoin and its peers on Thursday. This Friday, it is the PPI that will be monitored, although its influence on expectations for the Fed will undoubtedly be more limited than that of the CPI.
But ETFs could also continue to fuel the rise of cryptos in the coming weeks, especially if data shows that they are very successful, which will mean a massive influx of new funds into BTC.
We will therefore also monitor the communication from the first issuers on this subject over the coming days.
Technical thresholds to monitor on Bitcoin
From a graphical point of view, the underlying trend remains bullish, a bias which will only begin to be called into question in the event of a break below $44,000. In this case, the next credible support will be the $40,000 zone.
On the upside, yesterday’s high at $48,750 is the first potential chart obstacle, before the major psychological threshold of $50,000.
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