Bitcoin

Spot

<h4>The Bitcoin Spot ETF approval is imminent. The deadline for the first approval is this coming 10th, January 2024. It looks like a done deal. The likelihood is up to 99%. There was a last-minute change to the deadline. Applicants are releasing Bitcoin-related videos. There were over 30 meetings with the SEC. Many insiders confirmed the deal.&nbsp;</h4> 
So, what is about to happen with the approval of Bitcoin ETFs? Can we sell the news? Let’s take a closer look at how the BTC price may react to approval. 
<h5>An Initial Pump</h5> 
Bitcoin has seen some positive price action over the last 90 days. Today, BTC is up by no less than 7%. Its <a href="https://www.coingecko.com/en/coins/bitcoin" target="_blank" rel="noopener">current price</a> is $45,110. That all started around the time the first Bitcoin ETFs started making the news. Although the first application by Ark 21 dates to April 2023. Grayscale even applied back in October 2021. 
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 JUST IN: <img src="https://s.w.org/images/core/emoji/14.0.0/72x72/1f1fa-1f1f8.png" alt="🇺🇸" class="wp-smiley" style="height: 1em; max-height: 1em;"> CNBC says SEC could notify spot <a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a> ETF issuers "as soon as this week if they've been cleared to launch" <a href="https://t.co/HFpR6eelKp">pic.twitter.com/HFpR6eelKp</a> 
 — Bitcoin Magazine (@BitcoinMagazine) <a href="https://twitter.com/BitcoinMagazine/status/1742236901657002427?ref_src=twsrc%5Etfw">January 2, 2024</a>
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The final deadline for the SEC is 10th January 2024. However, the approval may come earlier. Initial word was that applicants would receive an update today, Tuesday, or Wednesday. However, the SEC seems to still be going over the paperwork and needs more time. Now, this update by the SEC saw a delay to Friday. 
Nonetheless, the BTC price rally is all about the possibility of approval by the SEC. What happens if the approval comes through? Most people will expect an immediate pump. That’s quite likely as well. However, don’t expect to see ‘God candles’. BTC is most likely not going to a new ATH on the immediate back of this news.&nbsp; 
A more likely scenario is that BTC will indeed pump. But it shouldn’t surprise you if, after this initial pump, the upward price movement stops. Get ready for some more sideways action. However, at much higher prices than we have today, at $45k. The picture below shows all BTC ETF applications and all-important deadlines. 
<img decoding="async" class="aligncenter wp-image-130852 size-large" src="https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_-1024x463.jpg" alt="BTC ETFs" width="696" height="315" srcset="https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_-1024x463.jpg 1024w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_-300x136.jpg 300w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_-768x348.jpg 768w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_-1536x695.jpg 1536w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_-696x315.jpg 696w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_-1068x483.jpg 1068w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_-928x420.jpg 928w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-283-_BTC-ETF_-Search-_-X-twitter.com_.jpg 1920w" sizes="(max-width: 696px) 100vw, 696px"> 
Source: <a href="https://twitter.com/ChainLinkGod/status/1742033191400272280/photo/1" target="_blank" rel="noopener">X</a> 
<h5>Consolidation</h5> 
Euphoria rules now and the sky seems to be the limit. There seems to be only one direction, and that’s up. However, the excitement of the approval won’t last forever. With the approval, it may disappear faster than expected.&nbsp; 
The <a href="https://www.altcoinbuzz.io/?s=bitcoin+etf" target="_blank" rel="noopener">BTC spot ETF</a> approval will most likely have a long-lasting effect. For the mid and long-term, it’s a clear bullish signal. However, what about the short term? What is going to happen now? So, this may come as a bit of a surprise, but we’re not in the ‘up only’ stage yet. 
It’s quite possible and likely that BTC will see a standstill or a small pullback. This will most likely weed out the ‘sell the news’ crowd. The crowd that’s waiting for the God candles is the next one to get rekt. That’s because the market will most likely pump a couple of $1,000. But it will start to dump soon afterward. 
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 There will be a pullback idk when but surely before the real up only bull market. 
 Below 35k? Below 25k? i don't know but all depends the how people react the ETF news.<a href="https://twitter.com/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$BTC</a> <a href="https://t.co/e5bqr7fzDB">pic.twitter.com/e5bqr7fzDB</a> 
 — Poseidon (@CryptoPoseidonn) <a href="https://twitter.com/CryptoPoseidonn/status/1740703977212174660?ref_src=twsrc%5Etfw">December 29, 2023</a>
</blockquote> 
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<h5>A Pullback</h5> 
We now may enter a pullback zone for BTC. But this pullback is most likely not as big as the bears among us hope for. The remainder of the ‘sell the news’ crowd may get caught up in this, though. On the other hand, the ‘up only’ or bullish crowd will find the pullback essential enough. 
As a result, we may see people in both camps getting rekt. The pullback could see a dump to $35-$40k. Enough to give the bulls the heebie-jeebies. Although not enough for the hard-core bears among us. Many bulls will sell again, and the bears keep waiting for the price to dump more. As a result, the bears probably don’t buy in at all.&nbsp; 
So, this is how both camps get rekt. If we look at previous <a href="https://www.altcoinbuzz.io/?s=bull+run" target="_blank" rel="noopener">bull runs</a>, it never is ‘up only’. There are always pullbacks, before a major leg upstarts again. Be prepared for this and don’t panic sell. These pullbacks can turn out to be great entry opportunities.&nbsp; 
<img decoding="async" class="aligncenter wp-image-130851 size-large" src="https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_-1024x463.jpg" alt="BTC ETFs" width="696" height="315" srcset="https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_-1024x463.jpg 1024w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_-300x136.jpg 300w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_-768x348.jpg 768w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_-1536x695.jpg 1536w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_-696x315.jpg 696w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_-1068x483.jpg 1068w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_-928x420.jpg 928w, https://www.altcoinbuzz.io/wp-content/uploads/2024/01/FireShot-Pro-Webpage-Capture-284-Jason-A.-Williams-on-X_-_Ok-cut-his-chart-and-talk-about-it-all-day-on-your-twi_-twitter.com_.jpg 1920w" sizes="(max-width: 696px) 100vw, 696px">Source: <a href="https://x.com/GoingParabolic/status/1734198247906816224?s=20" target="_blank" rel="noopener">X</a>&nbsp; 
<h5>Full On Bull Run</h5> 
Retail’s role is now almost over. It’s the grand entry of the institutional players. The Bitcoin ETFs are in full swing now. Buy activity keeps increasing. The crypto market enters the second stage. From now on, the market is in full bull run mode. However, this doesn’t mean there are no pullbacks anymore. These will happen along the way. See the picture above, from the 2017 bull run. 
Happy days all around. Except maybe for the people who got rekt after the BTC ETF approval. The ones that got caught out with the pullback after the ETF approval. Everybody else is enjoying the ride. Be aware, though, that this is only one possible scenario. Many variations are possible and anything can happen. 
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 In case you are wondering what will happen after <a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a> ETF approval. <a href="https://t.co/fT6M8JCUuf">pic.twitter.com/fT6M8JCUuf</a> 
 — Vivek<img src="https://s.w.org/images/core/emoji/14.0.0/72x72/26a1.png" alt="⚡" class="wp-smiley" style="height: 1em; max-height: 1em;"> (@Vivek4real_) <a href="https://twitter.com/Vivek4real_/status/1742334907077030253?ref_src=twsrc%5Etfw">January 2, 2024</a>
</blockquote> 
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<h5>Conclusion</h5> 
With the imminent approval of the Bitcoin ETFs, we look at a possible scenario when this happens. Will we go all the way to a new ATH without brakes? Or will we see some pullbacks and a gradual build-up? The actual approval will most likely see an immediate price increase. However, the follow-up can be a short pullback. Don’t let that be a surprise, since after that pullback, we’re most likely in the middle of the bull run’s second leg. 
<a href="https://www.patreon.com/altcoinbuzz" target="_blank" rel="noopener"><img decoding="async" class="wp-image-124240 aligncenter" src="https://www.altcoinbuzz.io/wp-content/uploads/2023/09/image-7-1-1-300x37.jpg" alt="" width="714" height="88" srcset="https://www.altcoinbuzz.io/wp-content/uploads/2023/09/image-7-1-1-300x37.jpg 300w, https://www.altcoinbuzz.io/wp-content/uploads/2023/09/image-7-1-1-1024x127.jpg 1024w, https://www.altcoinbuzz.io/wp-content/uploads/2023/09/image-7-1-1-768x95.jpg 768w, https://www.altcoinbuzz.io/wp-content/uploads/2023/09/image-7-1-1-696x86.jpg 696w, https://www.altcoinbuzz.io/wp-content/uploads/2023/09/image-7-1-1-1068x132.jpg 1068w, https://www.altcoinbuzz.io/wp-content/uploads/2023/09/image-7-1-1.jpg 1197w" sizes="(max-width: 714px) 100vw, 714px"></a> 
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<h6>Disclaimer</h6> 
The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers, and their risk tolerance may be different from yours. 
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The post <a href="https://www.altcoinbuzz.io/bitcoin-and-crypto-guide/possible-market-reactions-to-the-approval-of-bitcoin-etfs/">Possible Market Reactions to the Approval of Bitcoin ETFs</a> appeared first on <a href="https://www.altcoinbuzz.io">Altcoin Buzz</a>.

Possible Market Reactions to the Approval of Bitcoin ETFs

Altcoin Buzz

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