Crypto Weekly: Bitcoin Set New ATH

Oct 25, 2021
07:10
2 min reading

Choise.com team

On Tuesday, October 19th, ProShares’ first Bitcoin futures ETF went live on the NYSE. Demand for this instrument is very strong, resulting in ETF trading volume on the first day of almost $1 billion. This is the second-best result in the history of the stock market. Moreover, this ETF set an all-time record, reaching $1 billion in trading volume in just two days. Previously, no one was able to do this.

Three days later, on Friday, October 22nd, the second Bitcoin futures ETF from Valkyrie Investments was launched on the Nasdaq exchange. This index fund also had significant demand and trading volume on the first day reached nearly half a billion dollars. Shortly thereafter, asset management investment firm VanEck announced that it would launch its Bitcoin ETF on Monday, October 25th. Their application has also been approved by the SEC and the instrument will begin trading on the CBOE exchange.

Against this backdrop, the Bitcoin price set the new ATH at $67,000. Altcoins also posted similar gains. The most prominent cryptocurrency this week was BNB. First, Binance conducted another $639 million quarterly coin burn. In addition, the developers of the BSC network have proposed burning of 10% of all fees, similar to burning Ethereum. So far, this proposal is under consideration. This update could seriously affect the value of BNB, as its deflation intensifies even more.

Also this week it was revealed that another major crypto exchange, Coinbase, has become the exclusive partner of the national basketball association. The company will display promotional materials on the NBA and the US basketball team, and interact with fans and athletes online.

The largest American retailer, Walmart, also did not stay away from the crypto industry. The company will place 200 Bitcoin terminals on its premises and will allow buying cryptocurrencies for cash. This partnership is implemented through Coinstar and Coinme. The commission will be from 4% to 7% for the purchase of Bitcoin.

All this news had a positive impact on the cryptocurrency market, which showed significant growth the last week. Let’s take a look at the Bitcoin chart and try to understand in which direction it will move in the coming week:

Bitcoin price

In the first half of last week, the Bitcoin price showed an increase of 10% and set a new all-time high at $67,000. But at the end of the week, Bitcoin showed a 10% correction and briefly declined below $60,000. The shadows of the candles show that buyers are still confidently holding this strong support level.

At the same time, the weekly candle did not close very well, as a long shadow formed from above. This usually indicates a possible reversal. However, it is too early to talk about it. There is a high probability that the price will show growth of 3% – 5% and test the $63,500 level. If the chart can gain a foothold above it, then the BTC growth will continue this week.

Growth may also be affected by the upcoming update to the Ethereum 2.0 network, which should take place on October 27th. Before the latest Ethereum update, which happened in early August, the entire market grew by about 100%.