On November 23, Bitcoin (BTC) declined by 1.26% to $97,113 while remaining above $95,000. The positive market sentiment from Trump’s pro-crypto agenda supports BTC despite upcoming monetary policy changes. Notable ETF inflows are occurring, with record net inflows for BTC spot ETFs significantly boosting market confidence. Both BTC and ETH display bullish technical indicators, but investors should monitor potential support and resistance levels closely.

On November 23, Bitcoin (BTC) experienced a decline of 1.26%, reversing a previous gain, and closing at $97,113. Despite this pullback, it remained above the critical $95,000 support level. In contrast, the overall cryptocurrency market saw a modest increase of 0.40%, bringing its total market capitalization to $3.270 trillion. Market dynamics were significantly influenced by economic data from the US, particularly the rise in the S&P Global Services PMI, which tempered expectations for a December Federal Reserve rate cut, thus negatively impacting BTC demand.

Investor sentiment surrounding President-elect Donald Trump’s pro-cryptocurrency agenda provided a tailwind for BTC, helping to mitigate the effects of the recent economic data. Notably, Bitcoin spot exchange-traded fund (ETF) inflows hit impressive levels, with $490.3 million recorded on November 22, extending their inflow streak to five consecutive sessions. Overall, the BTC-spot ETF market experienced inflows totaling $3.353 billion during the week ending November 22—marking a significant high since the market’s inception in January 2024.

The asset management giant BlackRock has seen notable ETF success, with its Bitcoin-focused fund, IBIT, achieving net inflows of $31.333 billion since launch, surpassing the total inflows of the broader BTC-spot ETF market. Eric Balchunas, a senior ETF analyst at Bloomberg Intelligence, noted that US spot ETFs were close to overtaking Bitcoin’s creator Satoshi as the largest holder of the cryptocurrency, potentially achieving this milestone by Thanksgiving. The strategic focus on BTC as a US strategic reserve asset under Trump’s administration remains a significant factor driving market sentiment as this proposition receives bipartisan support from Republican leaders.

Amidst this backdrop, BTC’s price outlook remains optimistic as it trades above both the 50-day and 200-day Exponential Moving Averages (EMAs), which are viewed as bullish indicators. A break above the recent high of $99,318 could see BTC targeting the psychological $100,000 mark and potentially reaching up to $120,000. However, if Bitcoin were to fall below $95,000, it might experience subsequent pressure down to $90,000 and possibly lower.

Ethereum (ETH) also retains a bullish sentiment, currently trading above its EMAs. A breakthrough past its resistance level at $3,480 could allow Ethereum to escalate towards $3,835. Conversely, any drop below $3,244 would put further support at $3,033 in jeopardy.

In conclusion, both BTC and ETH show resilient patterns amidst fluctuating economic data and robust ETF inflows, indicative of prevailing investor confidence. Strategic movements in the crypto space linked to regulatory developments and market dynamics warrant ongoing observation as the market evolves.

The topic of cryptocurrency markets, specifically Bitcoin (BTC) and Ethereum (ETH), is intricately tied to broader economic indicators and potential regulatory changes within the United States. The recent surge in ETF inflows highlights investor confidence, partially driven by the political climate, notably the pro-cryptocurrency stance of President-elect Donald Trump. Economic factors, such as PMI reports, influence market expectations regarding interest rates, impacting cryptocurrency demand. Understanding how these interconnected elements influence market behaviors is essential for predicting future price movements.

The fluctuation in Bitcoin’s price showcases the intricate interplay between economic data, investor sentiment influenced by political developments, and the performance of cryptocurrency ETFs. The continued upward movement in ETF inflows reflects a solid foundation for BTC’s future growth in the context of Trump’s strategic initiatives. Both BTC and ETH exhibit strong technical indicators suggesting further bullish momentum, although traders should remain vigilant of potential downside risks.

Original Source: www.fxempire.com

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