Despite several attempts, Bitcoin continues to struggle to find a position above $8,000. After previously dropping below it on Friday of last week, the digital asset attempted to get above it late on Sunday.
After nudging at the position several times, it failed to find support above. The result has been a price drop to around $7,800 at the time of press. Despite the drop, analysts continue to predict that prices will continue to rally and that this bullish run is the real deal.
Bitcoin (BTC) Is Bullish As Long As It Holds Above $6,400
For many of the analysts, there is a sense that Bitcoin is bullish as long as it can hold above the $6,400 mark. Bitcoin holding above this position will allow for the entry of new investors and will be a firm confirmation that the bottom is long gone.
Additionally, a drop below this position could be diabolical with investors beginning to panic that prices could be dragged into last year’s lows of $3,100. A sell-off could easily be triggered below the $6,400 position, taking Bitcoin back to its bearish slump.
Last week, Bitcoin established a weekly high of around $8,250, whilst nearing record volume which helped validate the rally.
Arthur Hayes Says This Bull Run Is The Real Deal
“The bull market is real. A momentary dip below 7k, and a few days later we are back above 8k and the Sep and Dec contracts are in contango. Booyah!”
VanEck BITCOIN ETF Decision Expected This Week
The SEC is this week expected to make a decision on the VanEck Bitcoin ETF registered on February 20. This decision could be a potential maker or breaker. If the SEC is to reject the proposal we could see prices drop while an approval would see prices skyrocket.
Given that the SEC has rejected every prior ETF proposal, the market has become less and less prone to rejection and this particular ETF is not expected to cause such a huge dip if rejected.