SEC Approval Could Propel Bitcoin To New Heights: Analyst Forecasts $150,000 Clearing Price

Ronaldo Marquez

1 year ago

3 mins read

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In a recent interview, Tom Lee, CNBC’s head of research, shared his insights on the potential impact of a Spot Bitcoin exchange-traded fund (ETF) approval by the Securities and Exchange Commission (SEC) on the price of the largest cryptocurrency in the market.

Lee expressed optimism that introducing a Bitcoin ETF could propel the digital asset to price levels of $150,000 or even $180,000, representing a significant surge from current levels.

Optimistic View On BTC

Lee’s bullish stance on the potential for a Bitcoin ETF to drive price appreciation reflects the growing anticipation within the cryptocurrency community, as an ETF would provide traditional investors with a regulated and easily accessible vehicle for gaining exposure to Bitcoin, potentially attracting substantial capital inflows into the market.

According to Lee, if the SEC were to approve a Spot Bitcoin ETF, it could unlock a new wave of investor interest and significantly boost the price of Bitcoin.

He estimated that this approval could drive the cryptocurrency to $150,000 or even $180,000, representing a substantial appreciation from its current levels.

The endorsement of a regulated ETF would likely instill confidence among institutional investors who have hesitated to enter the cryptocurrency market due to concerns about custody and regulatory oversight.

However, Lee also acknowledged the influence of the upcoming Bitcoin halving event on the price trajectory. Bitcoin’s protocol is designed to undergo halvings approximately every four years, reducing the block reward miners receive by half.

Considering the impact of the halving, Lee tempered expectations of Bitcoin reaching six-figure prices in the immediate aftermath. While he expressed confidence in the long-term potential of the digital asset, he suggested that the effects of the halving might delay the realization of such high valuations.

Bitcoin Holds Critical Zone Amidst Intensifying Bull-Bear Battle

While continuing to experience a consolidation phase and decide which side will crack first, Bitcoin has found itself in a critical zone, prompting both bullish and bearish sentiments among market participants.

Keith Alan, co-founder of the analysis firm Material Indicators, has highlighted vital indicators and technical levels that are currently shaping the market’s direction.

While the bears actively seek to test support and potentially trigger a macro bear market, the bulls have maintained the trading range thus far, keeping the macro bull market prospects alive.

The significance of maintaining the range cannot be understated. According to Alan’s analysis, key Moving Averages and the green resistance/support (R/S) Flip Zone have demarcated critical levels that Bitcoin must hold.

As BTC’s price approaches the lower end of the range, below $29,000, Alan closely observes the technical support at the 21-Week Moving Average, as a breach of this level could have far-reaching implications for the overall market sentiment.

According to Keith, a break below the range and the subsequent formation of a Lower Low (LL) in price action would signal the onset of a macro bear market. This would imply a prolonged period of downward price pressure and a potential shift in the broader market trend.

Conversely, a successful defense of the range, coupled with a clearance of the 100-Week Moving Average and the formation of a Higher High (HH), would indicate the potential for a macro bull market characterized by sustained upward momentum.

Despite the bearish signs of “price erosion” and diminishing liquidity, the bulls can still find solace in the fact that they are currently holding the range. This suggests that the market is yet to tip in favor of the bears decisively.

However, the bears remain determined to test this support, making it a crucial juncture for determining the near to mid-term trend of Bitcoin.

Featured image from iStock, chart from TradingView.com

Ronaldo Marquez

Ronaldo is an experienced crypto enthusiast dedicated to the nascent and ever-evolving industry. With over five years of extensive research and unwavering dedication, he has cultivated a profound interest in the world of cryptocurrencies.

Ronaldo's journey began with a spark of curiosity, which soon transformed into a deep passion for understanding the intricacies of this groundbreaking technology.

Driven by an insatiable thirst for knowledge, Ronaldo has delved into the depths of the crypto space, exploring its various facets, from blockchain fundamentals to market trends and investment strategies. His tireless exploration and commitment to staying up-to-date with the latest developments have granted him a unique perspective on the industry.

One of Ronaldo's defining areas of expertise lies in technical analysis. He firmly believes that studying charts and deciphering price movements provides valuable insights into the market. Ronaldo recognizes that patterns exist within the chaos of crypto charts, and by utilizing technical analysis tools and indicators, he can unlock hidden opportunities and make informed investment decisions. His dedication to mastering this analytical approach has allowed him to navigate the volatile crypto market with confidence and precision.

Ronaldo's commitment to his craft goes beyond personal gain. He is passionate about sharing his knowledge and insights with others, empowering them to make well-informed decisions in the crypto space. Ronaldo's writing is a testament to his dedication, providing readers with meaningful analysis and up-to-date news. He strives to offer a comprehensive understanding of the crypto industry, helping readers navigate its complexities and seize opportunities.

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With a genuine desire to become the best version of himself, Ronaldo is committed to continuous improvement. He sets personal goals, embraces challenges, and seeks opportunities for growth and self-reflection. Ultimately, combining his passion for cryptocurrencies, dedication to learning, and commitment to personal development, Ronaldo aims to go hand-in-hand with the exciting new era that the emerging crypto technology is bringing to the world and societies.

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