Bitcoin, Closer to Breaking the Critical Level of $38,000: Will it Succeed?

• As the crypto market had a strong start on Monday, with investors regaining confidence, Bitcoin (BTC) price reclaimed $37,000.
• Bitcoin (BTC) continues to be a significant topic of discussion on social media, even though it did not meet the eight-day period set by the SEC for approving spot Bitcoin ETFs.
• The recent rise in Bitcoin’s price was partially triggered by the election of Javier Milei, a politician supporting the adoption of Bitcoin as Argentina’s President.

Bitcoin price has approached $38,000 after the developments in Argentina, but has not yet been able to break it: What happens now?

Can Bitcoin Break the $38,000 Barrier?

As the crypto market had a strong start on Monday, with investors regaining confidence, Bitcoin (BTC) price reclaimed $37,000. On-chain analyses identify the main reasons that could push BTC prices higher this week.

At the time of writing, Bitcoin was trading below $37,400, up 1.77%, and the trading volume increased by 21% to just over $14 billion. The recent increases in the cryptocurrency’s price helped recover the losses of the past seven days, showing about a 0.55% increase.

This increase reflects growing hopes for the approval of a spot Bitcoin exchange-traded fund (ETF) by the US government. However, the SEC is still undecided and has postponed many Bitcoin ETF proposals until 2024. Bitcoin (BTC) continues to be a significant topic of discussion on social media, even though the SEC did not meet the eight-day period set for approving spot Bitcoin ETFs.

However, a new explanation for the delays has emerged, and it is believed that financial regulators prefer cash-based ETFs over ETFs based on cryptocurrencies. Additionally, it is assumed that they are in active communication with exchanges on this matter.

Bitcoin Experiences Price Increase with Milei’s Victory

The recent price increase in Bitcoin was partially triggered by the election of Javier Milei, a politician supporting the adoption of Bitcoin as Argentina’s President. Nevertheless, some traders are drawing attention to a potential market reaction after the release of the Federal Reserve meeting minutes on Tuesday and expect a period of decreasing market liquidity as the current business week comes to an end.

Expectations for a significant week in the crypto sector were identified by market participants and those predicting a series of events and announcements that could impact market trends. Leading eToro market analyst Simon Peters emphasized the Fed’s upcoming meeting notes to be released tomorrow. Peters stated that these minutes are of significant importance, describing them as a tool to gain in-depth understanding of the central bank’s current views.

In an environment where inflation is slowing down, investors are particularly sensitive to determining further evidence that the current moment may symbolize the end of peak interest rates.

What to Expect for Bitcoin?

As participants carefully monitor subtle signals that may echo in the overall market landscape next week, a deeper look at daily charts indicates a bullish sentiment around Bitcoin’s price, approaching a critical resistance level. If the closing bar aligns close to this threshold, the test of this resistance level indicates a potential breakout.

The accumulating excitement in this scenario could be a driving force for a significant increase that could push the price of the top altcoin to $39,000. The indicated bullish momentum has created significant excitement among market observers, expressing a challenging situation for the resistance level.