Last week, Bitcoin's volatility increased slightly as the crypto ultimately closed the week at $25,900.
The recent movements in Bitcoin's price were mainly influenced by developments related to spot ETFs (Exchange-Traded Funds) and actions taken by the U.S. Securities and Exchange Commission (SEC) against the cryptocurrency sector during the summer months.
To give you a quick summary: In June, when the SEC took legal action against both Binance and Coinbase (NASDAQ:COIN), it pushed Bitcoin below the $25,000 mark. However, a significant change occurred when BlackRock (NYSE:BLK) applied for a spot ETF, quickly pushing Bitcoin up to the $31,000 range.
Bulss' efforts to keep Bitcoin above $31,000 continued until mid-July, but they failed due to macroeconomic developments that reduced risk appetite in the market and a lack of specific catalysts to support a sector-wide increase.
Finally, Bitcoin, which started trading below $30,000 last month, lost ground with a sharp decline due to Elon Musk's company SpaceX selling its Bitcoin holdings and a real estate crisis originating from China.
During this decline, which was driven by panic selling, Bitcoin moved with low-volatility transactions, using the $26,000 level as a pivot point.
Last week, the market was cheered by Grayscale's victory in its SEC lawsuit, but the regulator's decision to postpone ETF application reviews until October caused the excitement to be short-lived.
At the moment, Bitcoin is maintaining a horizontal trend just below the $26,000 mark. On a weekly basis, it's evident that BTC is finding support above $25,500, which corresponds to the Fib 0.382 level based on the low from November 2022 and the peak from June 2023.
The loss of the critical support at
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