The day that cryptocurrency traders have long waited for is almost here. At the opening bell on October 19, a ProShares futures-based BTC ETF is scheduled to launch and analysts predict additional ETFs will be launched over the next week.
Data of Cointelegraph Markets Pro and TradingView shows that an early morning attempt by bears to lower the price below $ 60,000 was well defended by traders and at the time of this writing there is a tug of war in the $ 61,000 zone to $ 62,000.
While many have predicted that the ETF launch is the fuel needed to get BTC to the $ 100,000 mark, not all analysts agree with some warning that the event could be another 'buy the rumor, sell the news' event. ".
A higher low would be "normal" price action.
One trader who is not completely in love with the idea of a BTC futures ETF is the pseudonymous Twitter user 'Cry me a $ COIN', who posted the following tweet suggesting that the recent BTC price action is simply part of a normal pricing cycle.
I don't like the "ETF will / has been approved. WAGMI" vibe.
Don't be surprised with a higher minimum. It won't change anything, and that's the beauty of it.$ BTC pic.twitter.com/HJ6GyZtaMr
- cry a $ COIN (@crymeaCOIN) October 17, 2021
Consistent with the price path outlined in the chart above, there is a chance that Bitcoin will break above $ 68,000 in the coming months before heading lower to set a higher low near $ 46,000.
A similar feeling was voiced by 'Ryan Cantering Clark', who suggested that thus far, "the exchange has been a 'long ETF approval' and we are here, so what else in the short term gets us much higher?"
Clark said:
"Everybody knows where this is going, so in the short term I think we will have a deeper setback."
FOMO Buyers Beware
David Lifchitz, Managing Partner and Chief Investment Officer at ExoAlpha, provided a more in-depth analysis of what could happen next. Lifchitz suggested that a small pullback might be in order, "especially after the torrid $ 40,000 run just two weeks ago," which translated into a 50% BTC surge.
While Lifchitz suggested that "the medium term looks definitely higher," the analyst offered a warning to potential buyers by saying, "These Bitcoin ETFs based on CME futures to track the price of BTC will underperform. to the spot price of Bitcoin due to ongoing futures launch costs. "
According to Lifchitz, professional traders are likely to continue to use Bitcoin CME futures or crypto derivatives exchanges for their trading needs, while "longtime crypto investors are well equipped to directly trade and store Bitcoin for spot."
Lifchitz said:
“Therefore, these ETFs will likely be an easy access to Bitcoin for unsophisticated retail investors with their broker accounts, who will not get the full return of BTC after all fees have been posted. These ETFs will also provide arbitrage opportunities for savvy traders. Wall Street at its best. "
Related: Bitcoin's RSI Strength Suggests BTC Price Still Away From Its Peak Cycle
$ 90K BTC price if classic cup and mango formation develops
One final scenario to watch out for was offered by pseudonymous Twitter user 'Nunya Bizniz', who posted the following tweet outlining a bullish scenario for Bitcoin price action.
Daily BTC:
"YES" there is going to be a correction, maybe something like this?
Giant mug and handle.
What you think? pic.twitter.com/LPSQ0320zl
- Nunya Bizniz (@Pladizow) October 18, 2021
As seen in the chart provided, the analyst suggested that BTC price has the potential to return to the $ 53,000 support in the short term before resuming its uptrend.
The trader believes that after the price pulls back to touch the underlying support, BTC could then squeeze up to $ 98,000.
The overall cryptocurrency market capitalization is now $ 2.463 trillion and Bitcoin's dominance rate is 47.3%.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and business move involves risk, you should do your own research when making a decision.
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