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Bitcoin hits $43,000: Here are the reasons why analysts are bullish on BTC in the near term

The bounce puts Bitcoin on track to consolidate gains above $40k, suggesting a fresh target lies above the $43k resistance line. BTC price could mirror movements in the S&P 500 as the asset and the stocks are highly correlated. Bitcoin’s recovery continued on Monday after the weekend’s break above $40,000, with bulls testing resistance above…

  • The bounce puts Bitcoin on track to consolidate gains above $40k, suggesting a fresh target lies above the $43k resistance line.

  • BTC price could mirror movements in the S&P 500 as the asset and the stocks are highly correlated.

Bitcoin’s recovery continued on Monday after the weekend’s break above $40,000, with bulls testing resistance above $43,000.

The gains come after the stock market also saw the S&P 500 post its best week of the year so far, even as central banks take aggressive hawkish stances amid rising inflation. Positive news from Tesla Inc. on Monday, which said that it has nearly $2 billion in BTC, could have also fueled Bitcoin’s upward movement.

What are analysts saying about Bitcoin’s short-term price outlook?

Analysts for BTC outlook

On-chain analysis platform Santiment says Bitcoin’s high correlation with stocks means further price action could very well track the S&P 500. The platform predicts that BTC will rise as a result of new gains in the benchmark index.

A positive Monday will be a good sign for the week to come, and a continuation of a cryptocurrency rebound,” Santiment wrote.

Many eyes from the #crypto crowd will be on the incredibly close tie that #Bitcoin has had to the fluctuations of the volatile #SP500. A positive Monday will be a good sign for the week to come, and a continuation of a #cryptocurrency rebound. https://t.co/yw8WW8jskm pic.twitter.com/7aD0VLOm5L

— Santiment (@santimentfeed) February 7, 2022

US stocks are up in early trades on Monday, with the S&P 500 adding 0. 21% and the Nasdaq and Dow also up.

Pseudonymous crypto trader and Bitcoin analyst Rekt Capital says Bitcoin seeing a new weekly close in the green “has partially confirmed a break back into the $38000-$43000 range.”

The upside also had Bitcoin hovering near its 50-week exponential moving average, which the analyst says is “a key Bull Market moving average.”

“The EMA represents a price point of ~$44000 and may figure as a resistance. However, turning it back into support would restore macro bullish bias for Bitcoin,” he added.

Chart showing Bitcoin’s 50-week EMA at $44,000, a key price level for bulls. Source: Rekt Capital on Twitter.

According to another analyst, the bounce means Bitcoin’s most “significant” barrier is now at $48,400.

#Bitcoin | The most significant resistance level ahead of $BTC sits around $48,400, based on @intotheblock‘s GIOM model. #BTC pic.twitter.com/RI8Wio3lZK

— Ali Martinez (@ali_charts) February 7, 2022

Josh Rager, another very popular crypto analyst says the strong weekly close could aid bulls’ push for a breakout to $50,000. If BTC/USD has another green week, he believes there will be more upward momentum.

$BTC

Zooming in, strong weekly close

Decent chance it could push up to $50k if the price closes out green again this week

Lot’s of chatter about bull-trap but R/R down here is decent especially when looking at higher time frames pic.twitter.com/v8ExJ3E855

— Rager (@Rager) February 7, 2022

Given these perspectives, a bullish week would likely see BTC/USD turn the $40-$3k supply wall into a demand zone. If bulls achieve this, they are likely to mirror the rebound seen last July, which came after a 50%+ drawdown that started in May.

Bitcoin dipped more than 20% in January and lost more than 50% of its value before the rebound from lows of $33k.

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Bitcoin

Former Coinbase Business Developer: ‘There Wasn’t a Long-Term Case for Bitcoin Payments’

Nick Tomaino, a former business developer and marketing lead at Coinbase, explained how the idea of bitcoin for payments gradually lost its relevance in the market. Tomaino detailed that Coinbase rode this premise back in 2014 to raise $125 million in two funding rounds, but it was quickly clear that there was not a case [……
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Bitcoin

Japanese Corporation Metaplanet Acquires More Bitcoin, Stock Price Soars

Metaplanet, a publicly traded corporation on the Tokyo Stock Exchange, has announced an investment of 23.351 bitcoins, with an average purchase price of 10,706,180 yen per BTC, totaling 250 million yen ($1.6 million). The company now holds 141.0727 bitcoins, with an average purchase price of 10,278,391 yen per BTC…
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Bitcoin

BTC slips amid poor debut for Hong Kong spot ETFs

Bitcoin fell to under $62,000 after spiking past $64,700 earlier as Hong Kong spot Bitcoin and Ethereum ETFs began trading. Data showed trading volumes hit just over $11 million, against expectations of over $3oo million. Bitcoin price fell below $62,000 again amid market reaction to less than encouraging numbers from the first day of trading…


  • Bitcoin fell to under $62,000 after spiking past $64,700 earlier as Hong Kong spot Bitcoin and Ethereum ETFs began trading.
  • Data showed trading volumes hit just over $11 million, against expectations of over $3oo million.

Bitcoin price fell below $62,000 again amid market reaction to less than encouraging numbers from the first day of trading for much hyped spot Bitcoin and Ethereum ETFs in Hong Kong.

BTC was down about 1.4% at the time of writing, having touched lows of $61,587 across major crypto exchanges.

The benchmark cryptocurrency, which has struggled to reclaim key levels since its recent halving event, was seeing a 24-hour trading volume of $28.4 billion.

Bitcoin price and Hong Kong spot ETFs debut

Earlier, Bitcoin price surged to above $64,000 as the six spot Bitcoin and spot Ethereum ETFs went live in Hong Kong.

The flagship cryptocurrency rose to over $64,727 on US-based crypto exchange Coinbase. BTC also soared after reports Hong Kong approved the listing of the ETFs.

NEW: 🇭🇰 Opening ceremony of Hong Kong spot #Bitcoin ETFs 👏 pic.twitter.com/ux1eb5PqRn

— Bitcoin Magazine (@BitcoinMagazine) April 30, 2024

However, as data streamed in showing disappointing trading volumes and inflows, Bitcoin price took a hit. According to details of the six ETFs’s debut day, total trading volume reached just $11 million, not impressive given projections were much higher at over $300 million.

Bitcoin ETFs saw about $8.5 million while Ethereum ETFs recorded just $2.5 million on the first day. Ethereum price fell to $3,040.

Notably, the figures from Hong Kong are way lower compared to those recorded amid the enthusiasm that greeted the launch of spot Bitcoin ETFs in the US in January. On their debut, the US spot BTC ETFs raked in over $4.6 billion in trading volume.

The start to trading for the ETFs has not helped BTC price and BTC could face a slide under the $60k level if sentiment flips negative. On the upside, resistance at $65k remains critical and a breakout could see the bellwether digital asset soar towards its recent peak.


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