Bitcoin forecast: buy the rumor and sell the news?
The adage "buy the rumor and sell the news" might apply to Bitcoin with BlackRock and Fidelity’s potential Bitcoin ETF approval on the horizon.
In the event that the SEC denies the ETFs, market participants might eye downside targets below $41,500 and $41,250 if we get a wild swing to the downside.
Conversely, approval from the SEC may pave the way for an immediate targets of $48,250 and $48,700, with a sustained bullish sentiment propelling trading into the 50-55K zone. However, lingering questions persist about the market´s reaction, raising the possibility of countering recent optimism and lending credence to the "sell the news" adage.
Bloomberg reports suggest that approval for Bitcoin Spot ETFs could materialize as early as this week, with the SEC´s decision deadline set for January 10. Insiders speculate that the regulator might leverage this deadline to announce decisions on nearly a dozen Spot Bitcoin ETF applications simultaneously, including those by BlackRock and Fidelity.
Author
Mark O’Donnell
Blackbull Markets Limited
Mark O’Donnell is a Research Analyst with BlackBull Markets in Auckland, New Zealand.
