Last week, the price of BTC reached the $42,000 level, following a slump caused by a Matrixport report suggesting that ETF approval was unlikely. However, a quick recovery brings Bitcoin price back to important overhead resistance around $45,000.
The intraday recovery extends the sideways trend and challenges the overhead boundary while minimizing volume spikes. A series of Doji candles supporting our BTC price prediction supports the breakout theory.
Currently, BTC price is trading at $43,924 in long tail. The recent bounce from the support area highlighted on the daily chart leads to another breakout attempt.
Whales Are Stockpiling Bitcoin Ahead of ETF Approval
The highly anticipated Bitcoin ETF decision is creating FOMO clouds in the market, making it a hit even among whales.
The smart investor recently added 1,750 BTC ($76.9M) from Binance at an average price of $43,953, having previously acquired 6,000 BTC ($158.66M) at $26,444. The investor later deposited 3,000 BTC ($105.7 million) back into Binance for $35,241, making a profit of $26.4 million.
Going back to technical indicators, moving averages, along with recent crossovers, provide strong buy signals. Additionally, the MACD indicator is still in positive territory but fails to provide a positive crossover and continues to decline.
Will BTC price rebound to $50K?
Despite continued consolidation after last week’s decline, a series of Doji candles highlights an indecisive trend and predicts a possible breakout rally towards $50,000. Moreover, as the ETF approval decision gets closer, interest in whales increases and the likelihood of a breakout increases.
If growing demand and FOMO support help Bitcoin regain momentum, BTC price could reach the $50,000 milestone in January 2024. Conversely, if buyers fail to break out, it could retest the $42,000 level.