The rise in the price of Bitcoin above $42000 gave the bulls hope for a new rally. It brought small investors back to the market who were hoping to minimize their losses after the fall in the price of Bitcoin. However, the level of 42500 provided enough resistance to contain the bulls. The BTC/USD pair failed to rise above this level and began to decline. In just a few days, Bitcoin lost several important support levels: $42000, $40000, $39000 and $38000.
After a failed attempt to rise above $42500, the BTC/USD pair began to form a steady downtrend, reaching a low of $37481. However, we are seeing an increase in the BTC/USD pair. At the time of publication, the BTC/USD pair was able to rise to the area of $39300.
Thus, the bears were able to keep the Bitcoin price from falling below $38000. If the BTC/USD pair is able to climb back to the mark of $40000 mark today, it will confirm that the bulls are holding onto Bitcoin and aiming to rise to $50000.
The current rise in Bitcoin price can be explained by today’s news about Victory Capital Holdings. The holding announced the launch of its private crypto index fund Victory Hashdex Nasdaq Crypto Index Fund LLC in partnership with Nasdaq and global crypto asset manager Hashdex Ltd. This will provide investors with broad access to cryptoassets in a dynamic and adaptable manner with low costs and no blocking.
Victory Capital has also filed an exchange-traded fund (ETF) application with the Securities and Exchange Commission (SEC).