The buzz surrounding the potential approval of spot Bitcoin ETF has attracted institutional investors, crypto whales, banking giants, and other major players. As a result, Bitcoin (BTC) recorded a new 52-week high in a rally to breach the $38,842 price level. However, this is the first time since May 2022, that BTC has managed to hit this level.
Bitcoin crucial levels and technical breakouts
As per the data provided by TradingView, this level will become more crucial once Bitcoin achieves its daily candle closing above $38,300. For the last three weeks, BTC price has consistently experienced price reversals from this crucial $38,300 level, as it acts like a strong resistance.
According to technical analysis by experts, Bitcoin already broke out of the cup and handle pattern on the weekly timeframe on October 23, 2023. Since then, BTC’s price hasn’t faced any reversal or retest of its breakout level. This marks the seventh consecutive bullish week for Bitcoin. Moreover, this bullish momentum is supported by Ethereum and other major altcoins.
As of the current writing, Bitcoin price is trading near the $38,600 level, having experienced approximately 2% bullish momentum in the last 24 hours. It is also trading above its 200 Exponential Moving Average (EMA), indicating that BTC is in a bull run.
MicroStrategy’s strategic Bitcoin acquisition
Ethereum and major altcoins also show bullishness in their prices, receiving support from Bitcoin. The significant surge in cryptocurrency prices is attributed to the potential approval of a spot Bitcoin Exchange Traded Fund (ETF) and the recent failure of the Security and Exchange Commission (SEC) in the cases of XRP and Grayscale.
MicroStrategy, a business intelligence firm, has further supported this bullish trend by acquiring Bitcoin. From November 1 to November 30, 2023, they accumulated a significant 16,130 BTC worth around $600 million.
The SEC reportedly met with Grayscale on November 29, 2023, to discuss a proposed rule change by NYSE Area, Inc. This change aims to allow the listing and trading of Grayscale Bitcoin Trust shares, potentially paving the way for a Bitcoin Exchange Traded Fund (ETF). The meeting focused on regulatory considerations, and if approved, it could have a significant impact on mainstream cryptocurrency adoption.
