Amidst the anticipation surrounding the Approval of Bitcoin Spot Exchange-Traded Fund (ETF).crypto analyst CryptoQuant has made a bold prediction for the digital asset in advance.
2 Major Scenarios for Bitcoin Price
CryptoQuant, a well-known cryptocurrency expert, has done just that revealed two key scenarios for Bitcoin ahead of BTC Spot Exchange-Traded Fund (ETF). According to the analyst, BTC will undergo a bullish and bearish scenario before being approved by the US Securities and Exchange Commission (SEC).
The analyst’s prediction elaborates on Bitcoin’s price support and resistance analysis. CryptoQuant’s prediction was based on on-chain data on the average unit price of BTC holders.
The message read:
2 Scenarios Before Approval of Bitcoin Spot ETF and How to Respond. This post explains how to analyze Bitcoin price support and resistance using on-chain data on the average unit price of #Bitcoin holders.
For the bullish scenario, CryptoQuant noted that the percentage of daily to weekly holders is expected to increase by 8% if BTC reaches $48,500. This indicates “an overheated market and amplifies a correction.”
The analyst claimed that the $48,500 price is the “average unit price” for holders between 2 and 3 years. In addition, a primary resistance can also be formed at this level.
Meanwhile, CryptoQuant recorded a decline for the bearish scenario Bitcoin price during the past upturn about 2-30%. The crypto expert also added that BTC could form a support level between $30,000 and $34,000 if the price plummets.
Furthermore, CryptoQuant highlighted an average unit price of $34,000 for both the 18-month to two-year and one-week to one-month holding periods. Meanwhile, the average unit price for the holding period of three to twelve months is $30,000.
So far, the expert has highlighted the increasing dangers and uncertainty as the approval results of the Bitcoin Spot ETF approach. CryptoQuant has warned the crypto community not to take the risk as it is “unnecessary”.
BTC price drop after approval result
Institutional trading analyst MacroScope has done just that predicted a price drop for Bitcoin after the approval of the ETF. “We know there will be a dip at some point after approval,” MacroScope said.
The analyst further added that the dive can take place a day or week after hatching. However, he claimed that the exact time frame is “difficult to predict, but it should not surprise anyone.”
MacroScope also highlighted some factors to pay attention to during the dip. The expert noted that “once the dip stabilizes, the next upward move could be a ripper.”
Moreover, billions of funds will wait their turn, trying to time it just right. However, MacroScope has suggested assigning a starting position so as not to miss this turn.
At the time of writing, Bitcoin was trading at $46,860, indicating an increase of over 6% in the past day. According to CoinMarketCap, trading volume has increased significantly by more than 70% in the last 24 hours
Featured image from iStock, chart from Tradingview.com
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