Bitcoin price recovery cut short as Bitcoin ETF journey gets back on track

Bitcoin opened the week in declines only close it making lower corrections as well. Following the decline on Monday, there were considerable gains on Wednesday where Bitcoin reversed the trend from the lows at $3,340. The buyers reclaimed the position above $3,400, although the bullish momentum was not sustainable above $3,460.

Meanwhile, the journey to have the first Bitcoin exchange-traded fund which had suffered a blow after Cboe pulled out its proposal is back on track. The Cboe had called back its proposal on January 31 in a bid to ensure that the proposal is not rejected due to the government shutdown.

“The VanEck SolidX Bitcoin ETF proposed rule-change has been submitted by CBOE. Hard work by all teams involved.” Writes Gabor Gurbacs on Twitter.

Read more on Bitcoin ETF new developments here

Bitcoin seems unbothered by the news that the hope for the first BTC ETF is still alive. The largest cryptocurrency is seen trading at $3,381 after a sharp drop during the Asian trading session on Friday. The short-term support levels at $3,420 and $3,400 could not hold the declines which reignited further breakdown to the intraday lows of $3,374.67. However, chances of recovery are still high owing to the fact that the Relative Strength Index (RSI) is making an upward move, besides it has avoided the oversold levels. A correction above $3,400 is needed for BTC to come out of the bear range.

BTC/USD 1-hour chart