After the historic approval of a spot Bitcoin exchange-traded fund (ETF) by the Securities Exchange Commission (SEC), the focus has shifted to the overall market trajectory in the upcoming days, given the bullish sentiment associated with the investment product.
In this context, a cryptocurrency trading expert by the pseudonym thescalpingpro shared insights in an X (formerly Twitter) post on January 11 about how Bitcoin (BTC) is expected to perform in the coming months.
The first insight focuses on Bitcoin’s next price trajectory, where the expert pointed out that the maiden cryptocurrency is likely to trade sideways or enter a vertical accumulation phase. Notably, in a vertical accumulation phase, the price chart shows a steady upward trend, marked by consistent buyer participation and sustained demand for the cryptocurrency.
Bitcoin price analysis chart. Source: Thescalpingpro
Following BTC’s correction, altcoins are predicted to experience a more pronounced dip, only to recover. This pattern aligns with the common occurrence in the cryptocurrency market where altcoins, while influenced by Bitcoin, showcase resilience in the recovery phase.
The analysis further forecasts the resumption of the bull market and suggests the potential for Bitcoin to reach a new all-time high in the coming months.
On the other hand, the expert suggested what to expect from other cryptocurrencies. For instance, he pointed out that Ethereum (ETH) and altcoins are likely to undergo a parabolic rally.
In his view, the growth will likely unfold in stages, with large-cap coins leading the charge, followed by mid-cap and small-cap tokens experiencing a similar surge.
Other cryptocurrencies outlook
Beyond the leading cryptocurrencies, the analysis highlights the potential rise in popularity of alternative blockchain projects, such as Celestia (TIA). Operating on various chains, these projects are poised to gain traction as investors seek diversified opportunities within the expansive crypto ecosystem.
Interestingly, he pointed out that the industry is likely to see a revival of the Non-Fungible Token (NFT) market. Previously dormant, the NFT space is expected to witness a renaissance, driving interest in digital collectibles.
In a speculative turn, the analysis suggests the possibility of a surge in “shitcoins,” referring to low-value and high-risk cryptocurrencies. These tokens may experience significant price pumps as market sentiment becomes more optimistic.
It’s worth noting that, following the SEC’s approval of 11 spot ETFs, speculation is rampant that the product will attract increased capital into the asset. This potential was evident when Bitcoin nearly reached $48,000 after false news about the ETF approval circulated.
Bitcoin price analysis
Bitcoin was trading at $46,816 by press time, showing daily gains exceeding 2%. On the weekly chart, BTC is up by 8%.
Bitcoin seven-day price chart. Source: Finbold
Despite optimistic expectations for a Bitcoin rally post-ETF approval, some experts hold a contrary view, labeling it a ‘buy the rumor, sell the news event.’
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
