Crypto Price Prediction: The market excitement for spot Bitcoin ETFs, which began its trading days on Thursday, began to decline. Despite a trading volume of $4.6 billion on its listing days, the crypto market saw a sudden sell-off on Friday that saw a 7.5% drop in Bitcoin, 3.66% in Ethereum and a drop of 6 -7% in XRP and Solana recorded.
Anthony Scaramucci, the founder of SkyBridge Capital, recently shared his insights with Bloomberg about the factors influencing Bitcoin’s recent downturn. He emphasized that the drop in Bitcoin’s value can be attributed in part to the sale of Grayscale Bitcoin Trust shares. This activity intensified after the trust’s conversion to an ETF, a move approved by the US Securities and Exchange Commission. According to Scaramucci, investors are offloading these stocks to realize losses and moving to options with lower fees.
In addition, Scaramucci highlighted another factor affecting Bitcoin’s price: the bankruptcy estate of FTX that may be selling assets in response to the ETF announcement.
Despite this downward pressure, he remains optimistic about Bitcoin’s near-term prospects.
“There is currently a large volume of selling in Bitcoin. I do expect the supply overhang to be done in the next six to eight trading days.”
Thus, the BTC price can recover the bullish momentum in this correction and resume the recovery trend further.
Sound Retracement Tips Bitcoin (BTC) price recovery is intact
The recent launch of the first ever Bitcoin ETF in the US was a notable event in the cryptocurrency market. However, Bitcoin (BTC) itself has faced challenges to surpass the $48,000 resistance level.
Over the past 48 hours, there has been a significant drop of 12.5% in its value, bringing the price to $42,943. This decline occurred after a reversal of the $48,000 barrier.
Currently, Bitcoin price is striving to maintain its value above a critical support level, which includes the 23.6% Fibonacci retracement level and a newly forming ascending trend line.
Such pullbacks are often seen as beneficial to the long-term trend, providing an opportunity for buyers to consolidate their positions. The resilience of this support level is evident as the price has repeatedly bounced back from it, suggesting a continued accumulation by buyers during these market declines, an indication of a potential recovery.
In a recent post from chain data provider Glassnode. Bitcoin’s Hash Rate Has Reached A New Record High, Over 600 EH/s! This incredible milestone means that the network is now making more than 600 quintillion calculations per second to solve the complex puzzles in block mining.
Increasing difficulties with mining and an upcoming halving event could lead to a declining supply of new Bitcoin and potentially put upward pressure on the price. Thus, a bullish rejection of the aforementioned support could embolden buyers to reiterate the $48,000 barrier and chase potential targets of $53,000 followed by $60,000.
Will ENS price recovery exceed $30 in January?
The Ethereum Name Service’s control token, ENS, has seen a significant recovery since January 3rd. This increase in demand followed a tweet by Ethereum co-founder Vitalik Buterin, who emphasized the importance of the ENS service.
He wrote “All L2s should work on (trustless, merkle-proof-based) CCIP resolvers, so we can register, update, and have ENS subdomains readable directly on L2s. ENS is extremely important, it should be affordable.
After this tweet, the ENS price found sustainability above the $8 mark and showed an aggressive rally. within two weeks the coin price has risen by 200% to currently trade at $24.03.
Amidst this rally, the coin price breached the $20.38 neckline resistance of the double bottom pattern. This chart depicting an early sign of trend reversal should increase accumulation in this asset. If the coin price shows sustainability above the neckline, the post-breakout rally could see the ENS appreciate 42% to reach $34.
The daily RSI slope above 80% reflects an aggressive recovery trend in this altcoin
Key resistance breakout sets Celestia (TIA) price rally at $25
The Celestia coin has shown remarkable recovery over the past two months, supported by a rising trendline. The coin’s price has risen 663% from a low of $2.25 to the current $17.75.
This trajectory has consistently found support at the rising trendline, a sign of active buyer accumulation during corrections, which is essential for a sustained uptrend. With an intraday gain of 4.64%, the TIA coin price is teasing a breakout above $3.17 resistance.
A successful breach of this threshold could lead to a 16% increase in value, targeting the $20 mark and possibly extending to $25.
The 20- and 50-day EMA acts as an additional support level during the market correction.
Disclaimer for Uncirculars, with a Touch of Personality:
While we love diving into the exciting world of crypto here at Uncirculars, remember that this post, and all our content, is purely for your information and exploration. Think of it as your crypto compass, pointing you in the right direction to do your own research and make informed decisions.
No legal, tax, investment, or financial advice should be inferred from these pixels. We’re not fortune tellers or stockbrokers, just passionate crypto enthusiasts sharing our knowledge.
And just like that rollercoaster ride in your favorite DeFi protocol, past performance isn’t a guarantee of future thrills. The value of crypto assets can be as unpredictable as a moon landing, so buckle up and do your due diligence before taking the plunge.
Ultimately, any crypto adventure you embark on is yours alone. We’re just happy to be your crypto companion, cheering you on from the sidelines (and maybe sharing some snacks along the way). So research, explore, and remember, with a little knowledge and a lot of curiosity, you can navigate the crypto cosmos like a pro!
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