What Developments Should Traders Watch As Bitcoin Trades Range-Bound?
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Bitcoin price managed to avoid sharp volatility today, trading within a relatively narrow range.
The world's largest digital currency by market value fluctuated between roughly $33,800 and $34,400 today, according to BTC/USDT Coinbase data provided by TradingView.
This took place after the cryptocurrency generated some impressive gains the day before, rallying over 10% in a short time frame to surpass the $35,000 level.
Since the cryptocurrency has been experiencing relative calm, what is next for bitcoin? What key developments should traders monitor?
Brett Sifling, an investment advisor for Gerber Kawasaki Wealth & Investment Management, focused on market sentiment, claiming that it has been improving after a federal court made a highly visible decision involving Grayscale and the U.S. Securities and Exchange Commission (SEC).
Yesterday, a federal appeals court ruled that the government agency will have to reconsider its decision to reject Grayscale's proposal, which would convert the company's bitcoin trust into a spot bitcoin exchange-traded fund.
"It’s starting to feel like speculation and excitement is creeping back into the crypto industry following the positive news developments surrounding the first Bitcoin ETF," he stated.
Sifling also spoke to the so-called halving, which is scheduled to take place in April.
When this event happens, the so-called mining incentive will be cut in half, reducing the rate of new bitcoin supply by 50%.
"This limiting of Bitcoin supply from the halving, combined with an increase of demand from new Bitcoin ETF flows, paints a favorable backdrop going forward," he stated.
In addition to highlighting the recent Grayscale court ruling and the halving, Sifling identified
