Bitcoin (BTC) This Week: A Bullish Outlook or Short Squeeze Ahead?
Arslan Butt•Monday, April 8, 2024•2 min read
Bitcoin (BTC) is experiencing a volatile week, with its price fluctuating after days of consolidation. While it’s currently down about 2%, some analysts see this as a positive sign, with the bulls recently pushing the price towards $70,000.
| Broker | Review | Regulators | Min Deposit | Website | |
|---|---|---|---|---|---|
| 🥇 |  | Read Review | FCA, CySEC, ASIC, MAS, FSA, EFSA, DFSA, CFTC | USD 100 | Visit Broker |
| 🥈 |  | Read Review | FSCA, FSC, ASIC, CySEC, DFSA | USD 5 | Visit Broker |
| 🥉 |  | Read Review | CySEC, MISA, FSCA | USD 25 | Visit Broker |
| 4 |  | Read Review | ASIC, BaFin, CMA, CySEC, DFSA, FCA, SCB | USD 200 | Visit Broker |
| 5 |  | Read Review | ASIC, FCA, CySEC, SCB | USD 100 | Visit Broker |
| 6 |  | Read Review | FCA, FSCA, FSC, CMA | USD 200 | Visit Broker |
| 7 |  | Read Review | BVI FSC | USD 1 | Visit Broker |
| 8 |  | Read Review | CBCS, CySEC, FCA, FSA, FSC, FSCA, CMA | USD 10 | Visit Broker |
| 9 |  | Read Review | ASIC, CySEC, FSCA, CMA | USD 100 | Visit Broker |
| 10 |  | Read Review | IFSC, FSCA, ASIC, CySEC | USD 1 | Visit Broker |
Key Factors Influencing Bitcoin This Week
- Halving Hype: The upcoming Bitcoin halving, expected in around 12 days, is generating excitement. This event will significantly reduce the new supply of Bitcoin entering the market, potentially impacting its price positively in the long term.
- Whale Activity: Large investors, nicknamed “whales,” have been accumulating significant amounts of Bitcoin, signaling a bullish trend. One whale recently purchased $90 million worth of BTC.
- Short Squeeze Potential: Analysts like CoinGlass suggest a potential short squeeze for Bitcoin if prices surpass $72,000. This could incentivize whales to hold or buy more, further driving the price up.
- Institutional Interest: The introduction of new Bitcoin ETFs in the US and growing interest from asset managers like BlackRock indicate increasing mainstream acceptance.
- Bitcoin as a Safe Haven: Cathie Wood, CEO of ARK Invest, highlights Bitcoin’s potential as a hedge against inflation and financial uncertainties.
Possible Challenges
- Post-Halving Slump: While the halving is bullish in the long term, some analysts like Coinbase warn of a potential short-term price dip afterward. Historically, this period has been weak for crypto markets.
- Regulation: Costa Rica’s proposed crypto law restricting Bitcoin use for everyday transactions raises concerns about future regulations.
Overall Sentiment
The sentiment for Bitcoin this week leans bullish, with analysts like Dylan LeClair at UTXO Management suggesting a strong and sustainable bull market. BlackRock’s expansion of authorized participants for its Bitcoin ETF further strengthens this view. However, short-term volatility and potential price corrections cannot be ruled out.
BTC/USD Technical Analysis
- Bitcoin is currently caught in a symmetrical triangle pattern, indicating indecision. A breakout above the triangle suggests a bullish move towards $73,777 or even $80,000. Conversely, a break below could lead to a decline towards $59,000.
Conclusion
This week is crucial for Bitcoin, with the halving approaching and potential short squeezes on the horizon. While there are some challenges like regulatory uncertainties, the overall sentiment remains bullish in the mid-term.
Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
ABOUT THE AUTHOR
See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
Related Articles
Comments
Subscribe
Login
Please login to comment
0 Comments
Oldest
Sidebar rates
Add 3442
Related Posts
SaveAdd 3440
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals
Top Broker