What to expect from Bitcoin this week?

Specialist RBC Crypto analyzed the market situation and assessed the prospects for the movement of the Bitcoin exchange rate for the next seven days.

“Positive attitude remains”

BitRiver financial analyst Vladislav Antonov

Key events of the past week:

• News about a $4.3 billion fine for the Binance crypto exchange and the resignation of Binance CEO Changpeng Zhao. The market reacted ambiguously to the news.
• The expectation of the imminent approval of a Bitcoin ETF in the United States was the main factor in investor optimism and the rise in the price of BTC.
• Weakening US dollar. Had a supporting effect on the price of Bitcoin.
• The growth of stock indices in the United States had a positive effect on the dynamics of the price of Bitcoin.

Over the past week, Bitcoin traded in the range from $35,632 to $38,414.

On November 20, the price of Bitcoin closed at $37,448 after a slight increase of 0.24%. On November 21 and 22, there was a sharp drop in price to $35,632 amid news of a $4.3 billion fine for Binance and the resignation of Binance CEO Changpeng Zhao. However, by the end of Wednesday, November 22, Bitcoin recovered its losses and grew by 4.66%, closing at $37,408. Thursday and Friday were relatively quiet with minor price fluctuations around $37,500.

On November 24, there was an increase of 1.12% with a maximum of $38,414. This was the highest value in the last 18 months. Buyers failed to gain a foothold at these high levels. Almost immediately after updating the high, there was a correction to $37,550. However, Bitcoin was able to stabilize above $37,500, maintaining most of the gains. At the end of the week, Bitcoin showed positive dynamics with an increase of 0.84%.

The main driver of the upward dynamics was positive expectations of the imminent approval of a spot Bitcoin ETF by the US financial regulator. The weakening dollar and the growth of stock indices in the United States also played into the hands of the bulls.

I believe that buyers are in a hurry to advance, despite the fact that a new phase of growth began on November 21. They stopped the recent decline after leaving the post of CEO of Binance and had to hold out for a couple of days. According to BitRiver estimates, this would allow buyers to rest a little in order to remove all “stops” on short positions, up to the $42 thousand mark. If the price stalls below the $38,500 level, then, most likely, we will remain below it until the beginning of winter.

Bitcoin showed positive dynamics, despite the intermediate correction. The positive mood of market participants remains, supported by the prospects for the launch of a Bitcoin ETF. This gives reason to expect the upward trend to continue in the medium term.

Of the important events in the new week, it is worth highlighting the US GDP for the quarter (the second assessment will take place on Wednesday) and the speech of the head of the US Federal Reserve, J. Powell (Friday).