Jane

Bitcoin ETF

Bitcoin

April

As the verdict on spot Bitcoin ETFs approaches between Jan. 8 and Jan. 10, market analysts, including K33 Senior Analyst Vetle Lunde, predict a sell-the-news scenario. 
Lunde, citing trader exposure and derivatives’ massive premiums, <a href="https://k33.com/research/articles/all-time-high-cme-premiums-ahead-of-etf-verdict" data-type="link" data-id="https://k33.com/research/articles/all-time-high-cme-premiums-ahead-of-etf-verdict" target="_blank" rel="noopener">suggests</a> a 75% likelihood of this outcome, overshadowing the 20% chance of approval. 
Despite signs of froth in the <a href="https://crypto.news/market-cap/" data-type="link" data-id="https://crypto.news/market-cap/">market</a>, such as futures premiums reaching annualized levels of 50%, institutional players continue to build long exposure, reflecting expectations of <a href="https://crypto.news/cathie-wood-hints-at-spot-bitcoin-etf-approval-date/" data-type="link" data-id="https://crypto.news/cathie-wood-hints-at-spot-bitcoin-etf-approval-date/">approval</a>. Open interest surged by over 50,000 BTC in the last three months, driven by anticipation of ETF approval. 
<figure class="wp-block-image size-large">
 <img loading="lazy" decoding="async" width="1024" height="1024" src="https://crypto.news/app/uploads/2024/01/chart-1024x1024.jpeg" alt="K33 Research: Approval of Bitcoin ETFs will cause bearish trend - 31" class="wp-image-14233748">
 <figcaption class="wp-element-caption">
 Seven-day chart of BTC | CoinGecko
 </figcaption>
</figure> 
 You might also like: <a href="https://crypto.news/blackrock-designates-jpmorgan-jane-street-as-bitcoin-etf-authorized-participants/"> BlackRock designates JPMorgan, Jane Street as Bitcoin ETF authorized participants </a> 
On the retail side, funding rates on offshore exchanges hit an annualized high of 72%, indicating extreme anticipation. However, given the aggressive leverage from long positions, the impending ETF verdict may trigger long squeezes. 
Bitcoin’s recent <a href="https://crypto.news/bitcoin-breaks-the-45k-zone-indicator-suggests-a-further-rally/" data-type="link" data-id="https://crypto.news/bitcoin-breaks-the-45k-zone-indicator-suggests-a-further-rally/">gains</a>, surpassing $45,000, correlate with growing U.S. spot ETF approval anticipation. Analysts suggest a potential peak in the current rally on the verdict date due to profit-taking and unsustainable premiums. 
Looking ahead, Lunde expects a net inflow of at least 50,000 <a href="https://crypto.news/price/bitcoin/" data-type="link" data-id="https://crypto.news/price/bitcoin/">BTC</a>, equal to $2.3 billion in January, crucial for sustained market growth. While a sell-the-news event may lead to short-term fluctuations, the combination of potential spot ETFs and the <a href="https://crypto.news/bitcoin-halving-price-surge-btc-2024/" data-type="link" data-id="https://crypto.news/bitcoin-halving-price-surge-btc-2024/">Bitcoin halving</a> event in April could contribute to a favorable market outlook as the year progresses. 
 Read more: <a href="https://crypto.news/jim-cramer-bitcoin-cannot-be-killed-is-here-to-stay/"> Jim Cramer: Bitcoin cannot be killed, is here to stay </a>

K33 Research: Approval of Bitcoin ETFs will cause bearish trend

crypto.news

Altri articoli pubblicati su 2 gen 2024

Dogecoin Millionaire Buys into the Pushd Presale While Shiba Inu Drops

Kyrgyzstan reports surge in tax revenue from crypto mining

Kyrgyzstan witnesses major boost in tax revenue from crypto mining

Positive Start to 2024 for Crypto Market with Bitcoin and Altcoins Rising

Cryptocurrency Spotlight: SEI, Solana, Arbitrum, Hedera, and Avalanche Lead Market Surge

Chainlink Could Rally Over 100% to $34 in 2024: Predicts Analyst

Iscriviti alla nostra newsletter gratuita per aggiornamenti giornalieri sulle criptovalute!