The ProShares Bitcoin Strategic Trade Fund (ETF) goes into history on October 19 when it begins trading on the New York Stock Exchange under the symbol BITO.
Market participants are likely to closely monitor ETF volumes to gauge the degree of institutional investor participation. If the reaction is slow for several days, short-term traders may be tempted to take profits, but the bullish momentum may intensify if demand remains high.
Daily market indices for cryptocurrency. Source: Coin360
The latest report from CoinShares for the week ending October 17 shows that institutional inflows into cryptocurrency have pushed the total assets of corporate executives to a new record high of $72.3 billion. Of the total inflow of $80 million in one week, Bitcoin products attracted the majority of $70 million.
Could the launch of a new ETF cheer up and push Bitcoin to a new all-time high, or will short-term traders turn a profit? Isn’t it time for money to flow from bitcoin to altcoins? Let’s take a look at the top 10 cryptocurrency charts to find out.
BTC / USDT
The long tail of the Bitcoin candle on October 17 shows strong buying in deflationary periods. The bulls tried to push the price above October 15 to $62,933 on October 18, but failed. This indicates that the bears are aggressively defending the area between $62,933 and $64,854.
BTC/USDT daily chart. Source: TradingView
If sellers break below $58,963, BTC/USDT could fall to the 20-week exponential moving average (EMA) ($55,118). A strong setback from this support will indicate that the mood is still positive and that traders are buying in recessionary times.
Then the bulls make another attempt to overcome the obstacle above their heads. If they are successful, the pair could start the next phase of the trend, which could reach $70,000 and then $75,000.
If the support of the 20-day moving average is broken, the pair may drop to the breakout level of $52920. This is an important support that you should pay attention to, because if it is broken, the pair could drop to the 50-day single moving average (SMA) ($49,270).
ETH / USDT
On October 17, the Bulls successfully defended the Inverted Head and Shoulders Neck (H&S), but could not hold out for a comeback. This indicates that demand is decreasing at higher levels. Bears pulled Ether (ETH) to their throats again on October 18.
ETH/USDT daily chart. Source: TradingView
A break below the neck could lead to a drop to the 20-day EMA ($3,563). The rising moving averages and the relative strength index (RSI) in positive territory indicates that buyers have an advantage.
If the price bounces off the 20 day EMA in force, this will indicate that traders are continuing higher in deflationary periods. Buyers will then make another attempt to earn $4,027.88.
If it succeeds, the ETH/USDT pair will be able to test the all-time high at $4,372.72. Alternatively, if the bears push the price below the moving averages, the pair could correct up to $3200.
BNB / USDT
Binance Coin (BNB) is struggling to rally after the H&S reversal pattern completed on October 13th, but the small positive thing is that the bulls are not allowing the price to stay below the setup neck.
BNB/USDT daily chart. Source: TradingView
The 20-day moving average ($439) is rising and the RSI is above 64, indicating that the path of least resistance is on the rise. If the bulls push the price above $484.70, the BNB/USDT pair could rise to $518.90.
This level could act as a strong resistance, but if the bulls overcome this obstacle, the pair could build up to the target pattern at $554.
Contrary to this assumption, if the price falls below the moving averages, this means that the bears are back in play. After that, the pair may decline to $392.20.
ADA / USDT
Cardano (ADA) operates within a symmetrical triangle pattern, indicating indecision between bulls and bears for the next directional movement.
ADA/USDT daily chart. Source: TradingView
The 20-day moving average ($2.20) is gradually declining and the RSI is lower near 43, indicating a slight advantage for the bears. If the sellers drop the number below the triangle guidelines, the ADA/USDT pair could drop to $1.87.
This level can attract strong buying by bulls. The breakout and close above the triangle resistance line indicate that the bulls sucked the nutrition and made a strong pullback.