Bitcoin Price Starts 2024 With A Bang, Is ETF Approval Imminent?

Bitcoin price is up over 5% and it cleared the $45,000 resistance. BTC is showing positive signs on rumors of spot ETF approval by the EOD.

• Bitcoin is gaining pace above the $44,000 and $44,400 resistance levels.
• The price is trading above $45,000 and the 100 hourly Simple moving average.
• There was a break above a key ascending channel with resistance near $43,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair is up over 5% after several rumors of BTC spot ETF approval by EOD.

Bitcoin price formed a base above the $41,200 level and started a fresh increase. BTC cleared a few major barriers near $43,200 to enter a bullish zone.

Several rumors circulating that spot ETF approval is possible by the end of today. The price is gaining pace on this rumor and broke the $44,000 level. There was also a break above a key ascending channel with resistance near $43,500 on the hourly chart of the BTC/USD pair.

Bitcoin even cleared the $45,000 resistance. A new multi-week high is formed near $45,499 and the price is now consolidating gains. It is trading well above the 23.6% Fib retracement level of the upward move from the $41,300 swing low to the $45,499 high.

Bitcoin is also trading above $45,000 and the 100 hourly Simple moving average. On the upside, immediate resistance is near the $45,500 level.

Source: BTCUSD on TradingView.com

The first major resistance is $46,000. A close above the $46,000 level could send the price further higher. The next major hurdle sits at $46,800. Any more gains above the $46,800 level could open the doors for a move toward the $48,000 level.

If Bitcoin fails to rise above the $45,500 resistance zone, it could start a downside correction. Immediate support on the downside is near the $45,000 level.

The next major support is near $44,500. If there is a move below $44,500, there is a risk of more losses. In the stated case, the price could drop toward the $43,500 support in the near term.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $45,500, followed by $46,800.

Major Resistance Levels – $45,000, $44,500, and $43,500.