Analyst Nicholas Merten Predicts Bitcoin Will Face Major Resistance and Drop
Bitcoin (BTC) is currently experiencing a significant sell-off, with crypto analyst Nicholas Merten, also known as the host of DataDash, predicting a major downward move for the leading cryptocurrency. Merten’s analysis revolves around the persistent resistance that Bitcoin has been facing at a critical channel.
Merten expressed concerns that Bitcoin may be unable to break through this resistance, which has proven to be a significant obstacle in the past. According to the analyst, this recurring resistance could lead to a substantial downward move.
Bitcoin Faces Strong Selling Pressure
Merten believes that Bitcoin will encounter even greater challenges than in previous instances when it reached this resistance level. He noted, “We are setting up for another third wave to the downside that will probably hit harder than any of the prior resistance that we faced in the past at this range because the more times we come up to this range, and we can’t clear through it, that’s going to be a problem.”
While there is a possibility for Bitcoin bulls to argue their case if the cryptocurrency manages to break through the resistance zone, Merten remains skeptical. He believes that the approval of a spot market BTC exchange-traded fund (ETF) is crucial for such a breakthrough.
EUR/USD Struggles to Break Resistance Level
In the foreign exchange market, the EUR/USD pair is striving to recover and surpass the 1.0550 resistance level. However, it is currently facing difficulties in rising above both the 1.0600 resistance and the 200 simple moving average.
On the 4-hour chart, a key contracting triangle is forming, with resistance near 1.0600. If this resistance is broken, it could potentially propel the pair towards the 1.0640 resistance level.
Spot ETF Applications Generate Optimism Amidst Bitcoin Uncertainty
In the cryptocurrency realm, there is growing enthusiasm for a particular spot market ETF application that has garnered more attention than several other similar applications. False reports of Blackrock ETF approval on October 16 briefly boosted Bitcoin’s price above $30,000, highlighting the increased interest surrounding ETFs.
While this news turned out to be inaccurate, it reflects a shift in attitude and sentiment towards crypto assets, with a greater focus on institutional participation. Blackrock’s successful track record with previous ETFs continues to fuel optimism in the crypto market.
As of the latest update, Bitcoin’s price on CoinGecko stands at $30,647, showing a 2.3% gain in the past 24 hours and a seven-day rally of 10.4%.
