Bitcoin's Balancing Act: BTC May Tumble to $20K in Bearish Scenario

Bitcoin’s Balancing Act: BTC May Tumble to $20K in Bearish Scenario

Updated: 04 September 2023

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Bitcoin price is closing in at $26k once again after dropping to $25,400 last Friday. The coin saw quite a bit of volatility in the final days of August, first skyrocketing to $28k on August 29 after Grayscale’s court victory over the SEC, only to crash again on August 31.

The price dipped to $26k on September 1, only to break the support by the end of the day and drop to $25.4k, as mentioned.

Over the weekend, the price was seemingly moving sideways. Still, on closer inspection, it has been gradually growing back toward the resistance at $26,000, and it finally climbed near it earlier today, Monday, August 4.

At the time of writing, the price has yet to breach the resistance. It managed to go to $26,035 a few hours ago briefly, but right now, it is back to $25,965.

Monitoring its performance, analysts believe that Bitcoin is currently offering short-term and long-term opportunities.

The analyst who suggested it believes that the chart forms an ascending triangle, a bullish pattern. They also indicated that this may have come from recent speculation regarding the BTC ETF approval possibility.

However, they also acknowledged that September is typically one of the worst months for cryptocurrencies, so bull traps should be expected.

Another analyst also seems to believe this, noting that the next crash is undoubtedly coming; however, before it happens, Bitcoin will need to correct its recent downtrend, which means a brief bull run followed by another hit.

This could provide some opportunities for day traders and scalpers, but according to experts, there are better times to buy for those uncomfortable with taking risks.

JP Morgan: SEC Will Be Forced To Approve BTC ETFs

There has been much speculation regarding the Bitcoin ETF approval, especially after Grayscale’s recent court case.

Essentially, the court decided that the regulator was too quick to reject the ETF proposal, believing that the SEC did not consider it properly.

The court ordered the regulator to take another look, which is encouraging, although it is not guaranteed that the ETF will be approved.

However, JP Morgan, particularly its analyst Nikolaos Panigirtzoglou, believes that the SEC is running out of excuses and will likely be forced to greenlight several spot Bitcoin ETFs.

JPMorgan analysts led by Nikolaos Panigirtzoglou wrote in a note on Friday that following Grayscale's victory in its case against the SEC, the SEC would likely be forced to approve spot bitcoin ETFs.https://t.co/W7KVWBbApv

— parzivalkairav 🔨🗿🎯 (@kairavweb3) September 3, 2023

Panigirtzoglou said: “The SEC would have to retroactively withdraw its previous approval of futures-based Bitcoin ETFs to defend its denial of Grayscale’s proposal. Such a move would be very disruptive and embarrassing for the SEC. Given the circumstances, it appears probable that the SEC will approve the pending spot Bitcoin ETF applications from several asset managers, including Grayscale.”

Robinhood Adds Support For BTC, DOGE For Its Wallet

Another good news for Bitcoin comes from Robinhood Wallet, which confirmed support for Bitcoin and Dogecoin for all classes of users.

This means that the company is finally adding support for assets outside of Ethereum’s ecosystem and that, in the future, users of the self-custody wallet will be able to hold and send BTC and DOGE.

Furthermore, Robinhood hinted that support for even more assets might be coming soon.

The wallet currently supports Ethereum swaps for over 200 assets, but this is only open to a select group of users. Robinhood is working on changing that and expanding the accessibility of the wallet’s assets and features, making them available to others.

Wall Street Memes’ Final Stage: Presale About To Close

Wall Street Memes (WSM) has been one of the summer’s biggest and most popular presales. However, it is now in its final stage, meaning it should soon be concluded. The project has seen significant interest, raising over $25 million over the last few months.

Its token, WSM, now sells for $0.0337 and will appear on exchanges in about 23 days.

This means that now is the last chance for users to buy it at this price before it emerges on crypto trading platforms and its cost becomes volatile. Anyone interested in purchasing WSM can do so with ETH. USDT, BNB, or credit/debit card.