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Traders are buying on the floor after the first Bitcoin Cash ETF was revoked


The US Securities and Exchange Commission has rejected VanEck’s request for an exchange-traded fund (ETF). This could be one of the reasons why the price fell yesterday and reached $ 62,000, however, as it turns out, most traders have considered this correction as a buying opportunity.

to the Report Coin Telegraph, the US Securities and Exchange Commission, has rejected Van Eck’s request to launch Bitcoin’s first cash ETF. Following the news, sellers broke the uptrend that had taken place over the past week by creating bearish waves in the market.

Although many investors had hoped that the approval of Bitcoin cash ETFs would push the price of the digital currency to $ 100,000, some believed that the US Securities and Exchange Commission would not approve cash ETFs. One of them is Eric Balchunas, a senior trading analyst at Bloomberg. He had said that the probability that the stock exchange commission would approve the Van One fund plan was less than one percent.

Market data show that although buyers supported the price at $ 65,000 on November 11 (November 20), on November 12 (November 21) this support was broken and the price of Bitcoin fell by 4% to $ 62,280. Is.

Bitcoin
Bitcoin price chart (4-hour view of Bitcoin market / Tetra)

Although the market reaction to the refusal of the Van Eck cash ETF license was negative, experienced traders, including Michael van de Poppe, dealt with the issue calmly.

Van Depop said:

Bitcoin cash ETF rejected. [این اتفاق] It may reinforce possible negative emotions in the market. Rejection is not a bad thing, it is common. It only interrupts until we reach the goal. Price correction is an opportunity to buy at lower prices. Look positive.

According to Van Depop, those who think that the bitcoin trend and digital currencies in general are bullish in the long run, can take advantage of this opportunity and choose good projects despite the low prices.

Floors and ceilings are a sign of a price jump

A digital currency market analyst on Twitter, nicknamed Venturefounder, shared a similar view, saying in the chart below that Bitcoin has now reached its second ceiling and third floor.

An ascending floor or roof refers to the conditions under which a new floor is formed above its previous floor and a new roof is formed above its previous roof.

Venture Funder said:

Reaching $ 60,000 after hitting a record high of $ 69,000 is like a gift. If the price of Bitcoin corrects between $ 57,000 and $ 61,000 (there is no guarantee), this is a great area to buy. The 50-day moving average (MA) is currently at $ 57,000.

Bitcoin
Bitcoin Price Chart (Venture Funder Analysis of the 4-Hour Bitcoin / Tetra Market View)

The total market value of digital currencies currently stands at $ 2.776 trillion, and the bitcoin dominance rate is 43.2%.

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