Bitcoin (BTC) remained stagnant around the crucial $26,800 level for the second consecutive day on October 13th, as regulators in the United States prepared to make a decision regarding the crypto investment giant, Grayscale. The price of BTC showed minimal movement from the previous day, maintaining a narrow range, according to data from Cointelegraph Markets Pro and TradingView.
Bitcoin market analysts speculated on potential catalysts, with one of them being the decision from the U.S. Securities and Exchange Commission (SEC) on whether to appeal a court ruling that denied the establishment of a Bitcoin spot exchange-traded fund (ETF). Michaël van de Poppe, founder and CEO of MN Trading, highlighted the importance of the SEC’s appeal in a tweet, stating that should nothing happen, Bitcoin could potentially reverse upwards in the coming weeks.
With a series of macro data releases throughout the week indicating higher inflation than expected, the BTC price trajectory appeared to be cautiously optimistic. Credible Crypto, a popular trader and analyst, noted a controlled “stairstep” pattern in the price of BTC, with clear breakdowns, retests, and continuation. He expressed the desire to see these patterns cleaned up before a potential reversal, as bids were stacked both above and below the current price.
Another trader, Daan Crypto Trades, observed that BTC/USD was moving within a zone between two liquidity clouds. He suggested that a reaction was more likely to occur when the spot price reached either one of these zones.
Rekt Capital, a trader and analyst, set a target of $25,000 for Bitcoin if bulls failed to reclaim the exponential moving averages (EMAs) that were lost during the week. Reclaiming these EMAs as support would help prevent a potential drop into the $25,000-$26,000 range.
Leading up to the deadline for the appeal, Grayscale’s flagship investment fund, the Grayscale Bitcoin Trust (GBTC), continued to perform well. Grayscale has stated that GBTC will eventually transition into a spot ETF, and the fund’s fortunes began to turn around in Q2 with an early victory for the company. On October 11th, GBTC reached its smallest discount to net asset value since December 2021, dipping as low as -16.44%.
It is important to note that this article does not provide investment advice or recommendations. Readers should conduct their own research and analysis before making any investment or trading decisions.