Bitcoin‘s price was found at $43,500 at the time of the report, following a dip to $42,450 with the opening of Asian markets. The market volatility continued due to unconfirmed social media speculation about an ETF approval. No official ETF approval has been announced yet.
The cumulative value of cryptocurrencies has stabilized at $1.65 trillion, with Bitcoin’s market dominance increasing to 51.8%. This reflects the decline in altcoins and suggests that volatility might persist in the altcoin sector upon ETF approval. BONK Coin was the biggest loser among the top 100 cryptocurrencies, with a 27% drop.
While ICP, ARB, TIA, and SEI were weekly winners, they also experienced double-digit losses in the last 24 hours. However, their weekly gains still exceed 26%. Recent employment data indicate that the Federal Reserve may not cut interest rates as much as expected, a negative sign for risk markets.
Daily chart readings, including the RSI and Elliot wave count, are mixed, making it difficult to determine a clear direction. The weekly outlook appears positive, but there’s a notable shift towards negative expectations in the shorter term.
According to Elliot wave analysis, Bitcoin is possibly in the fourth phase of a five-wave upward movement. A rising parallel channel indicates a flat correction, which is common before significant upward movements. However, a divergence in the RSI suggests a potential short-term decline. If Bitcoin breaks above the current channel, it could move towards the strong resistance area of $50,800. Contrastingly, a downward break could lead to a drop to $37,800.