BTCUSD has stabilized around the 43,420 level in anticipation of a potential launch of exchange-traded funds for this digital currency.
Late last week, members of the U.S. Securities and Exchange Commission (SEC) met with representatives of at least 7 companies, including BlackRock, Grayscale Investments, ARK Investments, and 21 Shares. They discussed the launch of Bitcoin-related exchange-traded funds (ETFs) in early 2024. According to Reuters, the SEC told at least two of these companies to make final changes to their applications by the end of the current week.
The SEC is scheduled to decide whether to approve or reject the joint offering by ARK and 21 Shares by January 10. Most issuers are hoping for a favorable SEC decision on several applications.
Executives of the two companies said the SEC has set December 29 as a deadline for final updates of their offerings.
The meetings were also attended by representatives of exchanges, including Nasdaq and Cboe, on which new financial products may be listed.
In recent years, the SEC has rejected several applications to launch Bitcoin ETFs linked directly to the cryptocurrency spot market because of its vulnerability to manipulation. So far, the SEC has only approved ETFs that are linked to Bitcoin and Ethereum futures contracts traded on the Chicago Mercantile Exchange.
Bitcoin's market value has increased by $530 billion in 2023, according to Bloomberg analysis. The digital currency has shown higher returns compared to traditional assets such as gold and tech stocks. Rising popularity of cryptocurrencies has created a need for Bitcoin-ETFs.
BTCUSD quotes are forming a new uptrend on the D1 timeframe.
In terms of wave analysis, the price is forming the third ascending wave on the H4 timeframe. Breaking through the top of the first wave at 44,570 will strengthen the upward movement.
Signal:
The short-term outlook for the BTCUSD pair suggests buying.
The target is at the level of 50,000.
Part of the profit should be taken near the level of 44,570.
A stop-loss could be set at the level of 39,445.
The bullish trend is short-term, so trade volume should not exceed 2% of your balance.
This content is for informational purposes only and is not intended to be investing advice.
