empty
01.03.2024 09:24 AM
Technical Analysis of BTC/USD for March 1, 2024

Bitcoin's Surge Amidst ETF Inflows: A Technical and Fundamental Analysis

Key Takeaways:

  1. Bitcoin registers a strong gain surpassing the $60,000 mark, nearing its 2021 historical highs.
  2. The influx of over $6.7 billion into ETFs, notably from BlackRock and Fidelity, is driving the cryptocurrency's growth.
  3. Technical indicators suggest a potential pull-back, with a predominantly bullish sentiment still present among investors.

This image is no longer relevant

Fundamental Analysis:

The recent surge in Bitcoin's value can be significantly attributed to the inflows into Exchange-Traded Funds (ETFs), which have been the catalyst for the cryptocurrency's ascent past the $60,000 threshold. As Bitcoin inches closer to its all-time highs set in 2021, we witness a substantial injection of capital into the market, notably a net positive influx of over $6.7 billion, even when considering outflows from Grayscale.

Within a span of just 32 trading days since the launch of their respective ETFs, BlackRock has amassed Bitcoin worth over $6.5 billion, closely followed by Fidelity with an impressive accumulation of over $4.4 billion. The momentum continues as the inflows into BlackRock iShares have recently broken their previous records, indicating an escalating dynamic interest from investors in the digital currency.

Technical Analysis for BTC/USD as of March 1, 2024:

The technical analysis landscape for BTC/USD indicates a momentary pause in the rally, hinting at a forthcoming pull-back. Despite this, the underlying sentiment remains overwhelmingly bullish. Here's a closer look at the indicators:

  • Technical Indicators: Out of 23 technical indicators, 10 signal a 'Buy', while 13 suggest a 'Sell'. This presents a mixed sentiment, albeit with a slight inclination towards a bearish outlook in the immediate term.
  • Moving Averages: A stronger signal comes from the moving averages, where 15 out of 18 are indicating a 'Buy', suggesting that the upward trend is still intact in the medium to long term.
  • Sentiment Scoreboard: The general market sentiment is bullish, with 73% in favor compared to 27% bearish. This sentiment has been consistent over the last week and the preceding three days, further cementing the optimistic stance among traders.

This image is no longer relevant

Market Scenarios:

  • Bullish Scenario: Should the inflows into ETFs continue at their current or increased pace, Bitcoin is poised to challenge and potentially breach its historical highs. This scenario is supported by the strong bullish sentiment and the majority of moving averages favoring a 'Buy'.
  • Bearish Scenario: Despite the bullish backdrop, the technical indicators signal caution. If the market responds to the immediate sell signals from the technical indicators, a pull-back could occur, potentially providing a correction to the recent rapid gains.

In conclusion, while the fundamental factors provide robust support for Bitcoin's valuation, the technical analysis advises traders to remain vigilant for signs of a short-term retracement. Investors are encouraged to weigh both the potential for continued growth driven by ETF inflows against the possibility of a natural market correction as signaled by the technical indicators.

Useful Links
Important Notice

The begginers in forex trading need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp market fluctuations due to increased volatility. If you decide to trade during the news release, then always place stop orders to minimize losses.

Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes. For successful trading, you need to have a clear trading plan and stay focues and disciplined. Spontaneous trading decision based on the current market situation is an inherently losing strategy for a scalper or daytrader.

#instaforex #analysis #sebastianseliga

Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

Technical Analysis of Intraday Price Movement of Litecoin Cryptocurrency, Thursday June 05, 2025.

On the 4-hour chart of the Litecoin cryptocurrency, there is an appearance of a Descending Broadening Wedge pattern which indicates that there will be a strengthening in the near future

Arief Makmur 09:53 2025-06-05 UTC+2

Trading Recommendations for the Cryptocurrency Market on June 5

Bitcoin is struggling to reach $106,000 less frequently and is dropping toward $104,000 more often, which is a rather concerning short-term signal. Sooner or later, this pattern could lead

Miroslaw Bawulski 09:20 2025-06-05 UTC+2

Trading Recommendations for the Cryptocurrency Market on June 4

Bitcoin and Ethereum keep trying to break through key resistance levels but continue to face the same obstacle. On one hand, this suggests a cautious approach by major market players

Miroslaw Bawulski 09:19 2025-06-04 UTC+2

The Correlation Between BTC and Global M2 Liquidity Remains High

Bitcoin still cannot firmly hold above the $106,000 level, which raises certain concerns. While other altcoins and tokens have been performing much better, at least in recent days, the fact

Jakub Novak 09:17 2025-06-04 UTC+2

BTC/USD Analysis on June 4, 2025

The wave pattern on the 4-hour chart for BTC/USD has become more complex. We observed a corrective downward structure that completed its formation around the $75,000 level. After that

Chin Zhao 09:10 2025-06-04 UTC+2

Trading Recommendations for the Cryptocurrency Market on June 3

Bitcoin and Ether surged strongly during Asian trading, although yesterday ended on a somewhat downbeat note. However, despite the rapid strengthening of these assets, Bitcoin once again failed to maintain

Miroslaw Bawulski 08:51 2025-06-03 UTC+2

Bitcoin's technical outlook appears promising

Bitcoin appears to have found a bottom near $104,000 and is currently trading around $104,500 in early June. It is evident that the cryptocurrency is positioned at a psychological

Jakub Novak 12:36 2025-06-02 UTC+2

Trading Recommendations for the Cryptocurrency Market on June 2

Despite the corrections at the end of last week, Bitcoin and Ethereum are once again showing upward momentum, although Ethereum is lagging behind. Experts from the banking group also point

Miroslaw Bawulski 09:45 2025-06-02 UTC+2

Bitcoin Forecast for June 2, 2025

Bitcoin Over the weekend, Bitcoin formed a reversal from the supports at the target level of 102,698 and the embedded green price channel line. If today's candlestick closes in white

Laurie Bailey 04:30 2025-06-02 UTC+2

Crypto investors still overwhelmed by optimism

Despite the ongoing correction, investor sentiment toward buying crypto assets remains positive, as indicated by the so-called Fear & Greed Index, which, as we noted earlier, is still

Jurij Tolin 16:24 2025-05-30 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.