Bitcoin Price Drops As Cathie Wood Says That BTC Selling On ETF Approvals Will Be “Short Lived” And This Bitcoin Alternative Blasts Past $6.6 Million

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Bitcoin price is down 1.43% in the last 24 hours to trade for $42,384 as of 3:10 a.m. EST time, with trading volume dropping 13%.

It comes as investors de-risk, following the reported deadline for spot Bitcoin ETF applicants looking to be considered among the first wave of potential approvals. With only six days remaining before the Bitcoin Spot ETF approval window opens on January 5, the market could witness some volatility. Bitcoin price, in particular, could pull south before an extended move north.

Ahead of the expected spot BTC ETF approvals, the buy the rumor, sell the news/fact narrative is expected to play out. Post-approval profit booking is highly likely as investors cash in on the gains made in the approval rally.

Nevertheless, Ark Invest founder, CEO, and CIO Cathie Wood says that Bitcoin selling on ETF approvals will be short-lived, holding that the long-term perspective remains promising.

Cathie Wood Anticipates A Short-lived ‘Sell On News’ Effect Of Spot Bitcoin ETF Approvals

In an interview with a news site, Cathie Wood said that she anticipates a cohort of investors to take some profits, attributing this to a “big anticipatory move” inspired by the expectation of potential approval of a spot Bitcoin ETF.

Nevertheless, despite her expectation of a short-term impact of potential spot BTC ETF approval in the wake of investors selling, Cathie Wood believes the long-term perspective is promising and more important.

Approval would make access to BTC very easy for institutions, with Cathie Wood saying that issuers would be able to allocate trillions of dollars in assets to Bitcoin. With this, she says Bitcoin price could move significantly if institutional investors put at least 0.1% or 0.2% of their assets into the king of crypto.

.@CathieDWood believes SEC approval of the spot $BTC ETFs will give "the green light for institutional investors to participate.” pic.twitter.com/AzxPPox3S5

— Yahoo Finance (@YahooFinance) December 26, 2023

In an interesting development, the investment firm submitted the fifth amendment of its spot BTC EF application. The submission beat the December 29 deadline and could be the final one before possible approvals.

ARK kicks off the S-1 Amendment-athon. Ahead of the pack as usual. Unclear yet what was changed tho, AP mentioned a ton but not named. Assuming that will prob come in the very final effective update just prior to launch. But we still don't know if they have signed agreement. https://t.co/mcNgpoR451

— Eric Balchunas (@EricBalchunas) December 28, 2023

The amendment also followed news of Cathie Wood selling all her Grayscale Bitcoin Trust (GBTC) position. The move does not come as a surprise as it would be a bad look to ARK ETF investors if they had shares in a competitor’s ETF. It also points to the intention to hold a BTC ETF rather than hold GBTC for her exposure to BTC.

The reason could be 3 things:
1) She turned bearish on $BTC (very unlikely, she's a major LT bull)
2) She wants to hold a $BTC ETF rather than hold GBTC for her exposure in Bitcoin
3) She has insider info that the ETFs will be rejected (very unlikely, she would make herself…

— Quinten | 048.eth (@QuintenFrancois) December 28, 2023

Bitcoin Price Outlook

Bitcoin price continues to consolidate along an ascending trendline with the $44,406 resistance level holding. As this technical formation fills up, BTC could break out soon.

In such a turn of events, two levels remain critical for the next short-term directional bias for Bitcoin price, $48,000 and $37,800.

Technical indicators such as the Relative Strength Index (RSI) show that Bitcoin price could pull south first as momentum continues to fade. The histogram bars of the Awesome Oscillator (AO) are also edging lower while flashing red, with this bearish outlook accentuated by the Moving Average Convergence Divergence (MACD) indicator that remains southbound, moving below the signal line (orange band) to show the odds favor the downside.

Increased profit booking could see Bitcoin price lose support due to the ascending trendline, sending BTC under the $40,000 psychological level. In the dire case, the slump could extend for the BTC market value to drop below the critical level of $37,800.

However, for the prevailing bullish outlook to be invalidated, Bitcoin price must record a daily candlestick close below the $30,000 psychological level. This is a highly unlikely outcome.

Converse Case

On the flip side, if buyer momentum increases, Bitcoin price could extend north, shattering the $44,406 barrier before a possible extension to clear the $44,700 range high. In a highly bullish case, the gains could extend beyond the $48,000 psychological level, beyond which the expanse would be open for BTC to target the $50,000 or $60,000 psychological levels in highly ambitious cases.

Meanwhile, all eyes have turned to BTCMTX, a stake-to-mine project that is among Pulse’s top picks for the best altcoins to invest in with the potential for maximum returns.

Promising Alternatives To Bitcoin

BTCMTX is a good choice for investors, with the token providing entry into the BTC market. Powering the Bitcoin Minetrix ecosystem, this project aims to make Bitcoin ownership a reality for everyone. To this end, it has lowered entry bars by decentralizing and tokenizing the Bitcoin mining process.

Exploring the options of #Bitcoin cloud mining through #BitcoinMinetrix!

✅ Perfect for beginners.
💰 Cost-effective, no hardware expenses.
🏙️ No worries about space, noise, or heat.
🔄 Hassle-free upgrades.#CryptoMining #BitcoinMining pic.twitter.com/SNGGQDjq4n

— Bitcoinminetrix (@bitcoinminetrix) December 28, 2023

Bitcoin Minetrix is a cloud-mining project, where investors can stake their BTCMTX holdings for mining credits. Redeeming or burning these credits will get you mining hash power.

Opt for #BitcoinMinetrix for seamless mining!

Entering cloud mining and waving goodbye to concerns about selling hardware. 🚀#BTCMTX manages upgrades, empowering users to concentrate on their $BTC journey, free from outdated equipment hassles. pic.twitter.com/JX3G4zG2BP

— Bitcoinminetrix (@bitcoinminetrix) December 27, 2023

The project is in the presale stage, boasting an outstanding $6658 million in sales so far. This is out of the target objective of $7.182 million. Investors looking to buy BTCMTX can do so on the website, with each token selling for just $0.0125. Notably, this price will only stand for the next three days before another price hike. Do not miss out for any reason, hurry and take advantage of this last chance to buy BTCMTX before the price rises.