Bitcoin at a crossroads: CME gap at $9,600 or return of the bulls?

  • After yesterday’s correction from $10,900 to $10,290, Bitcoin has stabilized along the $10,450 mark.
  • Experts disagree on whether the Bitcoin price will close the CME gap at $9,600 or the bulls will return.

Within the last 24 hours Bitcoin has shown a correction from $10,900 to $10,250. At the time of writing, the Bitcoin price has stabilized at $10,450 and shows a small plus of 0.17%. The market capitalization has fallen to $193 billion and the BTC dominance has fallen to 58.4 %.

Blockroots founder Josh Rager says that BTC must initially rise above $10,600 in order to maintain the bullish trend. In the first attempt to break the $10,600 mark, however, Bitcoin was rejected, so another retest will have to show whether the bulls are stronger than the bears. According to Rager, Bitcoin continues to be strongly influenced by the traditional stock market and cannot break free from the direct correlation for the time being.

“CRYPTO₿IRB” continues to be bullish for Bitcoin and describes that in his opinion the current correction does not mean an end to the recent uptrend. Bitcoin must manage to climb back above the $10,600 mark and then in the next step take the next resistance above the $10,840 level. If BTC manages to achieve these 2 small goals, BTC remains bullish.

The BTC trader “SalsaTekila” shorted BTC starting from $10,500 and took some good profits. In his opinion, Bitcoin could fall to $10,200 according to the current fundamental data and thus offers further good profit opportunities through shorts. Another possibility is to buy the dip and enter at $10,200. However, he urges caution, as the last correction was not preceded by any clear indicators.

The chief analyst at crypto-research company Blockfyre says on Twitter that gold is charting a similar pattern to Bitcoin and may be about to start a sharp correction. In this respect, he also warns that the cryptocurrency could be threatened by another reset due to the correlation of BTC with gold. The chart below shows that gold has always been able to hold above a strong support zone in the last 2 months, but has recently broken through it downwards. In his opinion, Bitcoin may also be facing another correction.

BTC Trader “yTedd” states that Bitcoin has bounced back at the $11,000 mark and it could take several weeks for Bitcoin to find new strength to test this resistance again. In his opinion, the United States of America has a strong global power in the financial market, so the current economic and political uncertainty is also affecting the Bitcoin market. Until the presidential election is decided in November, BTC may continue to move sideways.

Institutional investors increasingly want to buy Bitcoin

As Crypto News Flash has already reported, the current regulatory framework for the Bitcoin market is considered inadequate and discourages large capital-rich investors from entering the market. A new study has concluded that the regulatory framework needs to be clearly defined in order to tap the full potential of institutional investors:

Our research shows that institutional investors are enthusiastic about increasing their exposure to cryptocurrencies and crypto assets in general, but there are clearly many issues regarding the infrastructure that supports these markets that still concerns them. These clearly need to be addressed if the full potential of investment from institutional investors in crypto assets is to be realised.

Nevertheless, the adaptation of Bitcoin continues to progress. The purchase of more than 30,000 BTC by the Wall Street giant MicroStrategy and the strong growth of the Bitcoin Fund of Grayscale to more than $4 billion indicate a bride future.

About Author

Collin is a Bitcoin investor of the early hour and a long-time trader in the crypto and forex market. He's fascinated by the complex possibilities of blockchain technology and tries to make matter accessible to everyone. His reports focus on developments about the technology for different cryptocurrencies.

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