Market Analysis: Bitcoin Tests Psychological Level of $30k

FXOpen

Paradoxically, cryptocurrencies, which conceptually pursue decentralization goals, have become overly sensitive to regulatory news.

Surprising news from Cointelegraph that the SEC would approve an application for a spot Bitcoin ETF from BlackRock raised the price of the coin to USD 30,000.

The market’s positivity was added by the opinion of SkyBridge Capital founder Anthony Scaramucci, who believes that Bitcoin’s capitalization can with ease reach USD 15 trillion due to the actions of the Fed and global de-dollarization.

On some crypto exchanges, the price of derivatives associated with the main cryptocurrency even significantly exceeded the psychological mark of USD 30k.

However, Cointelegraph later deleted the post.

And on Tuesday morning, the BTC/USD rate consolidated below 29k USD.

In our October 10 Bitcoin market analysis, we wrote that the price of BTC could rise as part of an uptrend (shown in blue). And what now?
→ the price tested the USD 30k level, and the bears confirmed their presence at this level, pushing it down;
→ the price may find support from the level of 28,000, which previously served as resistance, which was noticeable in the candles from the end of August to the beginning of October;
→ the price decreased by approximately 50% of the increase in A→B.

If the USD 28k level does not help bulls maintain the progress made on the rumored approval of the application from BlackRock, then the price may return to the descending channel (shown in red), making the prospect of reaching a capitalization of USD 15 trillion even more elusive.

FXOpen offers the world's most popular cryptocurrency CFDs*, including Bitcoin and Ethereum. Floating spreads, 1:2 leverage — at your service. Open your trading account now or learn more about crypto CFD trading with FXOpen.

*At FXOpen UK and FXOpen AU, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules and Professional clients under ASIC Rules respectively. They are not available for trading by Retail clients.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

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