After nine days of narrow-range consolidation, there’s finally a hard move in $BTC (read crypto). What’s behind it, and how does it impact the mid-to-longterm perspective?
It doesn’t take long to find the trigger for such a short-squeeze: Grayscale won SEC lawsuit for Bitcoin ETF review (which doesn’t mean an automatic ETF approval, however).
Shares of Grayscale’s BTC trust, $GBTC, rose 13.5%, and the discount to NAV (Net Asset Value) narrowed to -19%.
While it may sound not that groundbreaking, it’s wise not to forget how large $GBTC is.
But does this massive short-squeeze signal a return to the uptrend? Many prominent traders on #crypto TwiXter are not so sure, saying something like, “Yeah, happy about SEC’s loss, but it’s not what I’m trading:”
At the time of writing, this move ported $BTC exactly to resistance:
So it doesn’t make the picture any clearer. For now, it looks like a continuation of the market seesawing and uncertainty amidst the implied accumulation and building a base for a real macro upward move.
There are other bullish headlines…
…and bearish factors that should not be overlooked, too:
By the way, technically, in $BNB the picture is about the same:
Longer-term, one can find some decent hopium in suggested pattern formations (although it looks a little less optimistic on the monthly chart to date):
So, again, what to expect from the markets? According to @CryptoMichNL,