Bitcoin Analyst Bullish On Market Health, Suggests ETF Approval Could Boost Rally: ‘This Isn’t Frothy — It’s Extremely Healthy’
By Benzinga
A pseudonymous cryptocurrency analyst CrediBull said that people have been saying that the “market is super frothy atm [at the moment], major correction incoming,” since Bitcoin (CRYPTO: BTC) was trading at $25,000.
What Happened: CrediBull observed that despite the market surge, both BTC funding rates and perpetual contract premiums have seen a significant reduction. The analyst said, “This isn’t frothy- it’s extremely healthy and increases the odds that we just keep pumping into ETF approval without much of a pullback at all.”
Another cryptocurrency analyst Ali Martinez identified a key level for Bitcoin’s increase, “With Bitcoin holding steady above $44,900, sustained buying pressure at this level might fuel a push toward $49,000.”
On Tuesday, Jim Cramer of CNBC flipped his stance on King crypto. “This thing is, you can’t kill [Bitcoin],” Cramer said, And the late Charlie Munger, who was so brilliant on so many things, was blind to this…”
He added, “It’s a reality and it’s a technological marvel. And I think people have to start recognizing that it’s here to stay. The SEC has been against it almost the all time. Now that doesn’t mean that every one of these [cryptocurrencies] is here to stay, but I do think that this is a remarkable comeback that was unexpected – except for for all the bulls who turned out to be right.”
See More: Dogecoin HODLERs Are Beating Shiba Inu With 57% Landing In Profits, IntoTheBlock Data Reveals
Why It Matters: Not all share the unabated optimism. CryptoQuant, an on-chain metrics platform, warns of an imminent correction as the market awaits the nod for spot-based Bitcoin ETFs.
According to CryptoQuant, the approval expected between January 8 and 10, 2024, could result in traders cashing in on their positions—a move that could prompt a market pullback. “Market analysts are assigning 90% odds of Bitcoin spot ETF approval in the USA by January 8th to 10th, 2024,” CryptoQuant said.
Price Action: At the time of writing, BTC was trading at $45,143, down 1.3% on Wednesday, according to Benzinga Pro.
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