fxstreet.com
- Bitcoin price is thinly holding above $34,000 after a significant surge to the $35,280 range high.
- The rally’s driver has been rescinded, with BlackRock iShares BTC Trust delisted from the DTCC list.
- Delisting adds to recent news that has spurred market volatility, raising concerns about what is really driving markets.
- DTCC website appears to have crashed, speaking to the uniqueness and intensity of this entire saga.
Bitcoin (BTC) price was spooked by recent news that BlackRock iShares Bitcoin Trust (IBTC) which had secured listing, was delisted. This brought back to mind fears last seen during the recent false news that a spot BTC ETF had been approved.
BlackRock iShares BTC Trust retracted from DTCC list
Bitcoin (BTC) price charged north in the past few days, steered by two key events. First, false news about the US Securities & Exchange Commission (SEC) approving the BlackRock iShares spot BTC exchange-traded fund (ETF). Secondly, the BlackRock iShares BTC Trust (IBTC) listing on the Depository Trust & Clearing Corporation (DTCC) appears to have vanished.
The delisting appears to have shaken the market, akin to what happened when news spread that the spot BTC ETF approval was false. Driven by interest, investors sprinted to the DTCC website for confirmation, with the traffic likely to have caused a website crash on Tuesday.
Looks like the DTCC website has crashed pic.twitter.com/UyrrfAl2Eu
— Eric Balchunas (@EricBalchunas) October 24, 2023
ETF specialist Eric Balchunas has commented on the matter, saying:
DTCC is definitely not used to this kind of attention or action, it lives behind the scenes, very boring. Speaks to the uniqueness and intensity of this entire saga.
Another user said, “This is what happens when the whole of crypto [T]witter goes to the DTCC site to see why they removed the IBTC ticker.”
The crash is testimony to the kind of demand and interest spot BTC ETFs have in the market, considering traditional stock ETF listings have never (arguably) caused a crash.
There is speculation that the SEC may have communicated with BlackRock, asking them to wait.
Bitcoin price could lose $34,000
Following the news, Bitcoin price has slumped, drawing closer to the $34,000 psychological level. As it thinly holds above this barrier, the king of crypto remains bullish with the odds still favoring the upside. If sidelined investors join the party, BTC could make a run for the $35,000 bull target.
The Relative Strength Index (RSI) at 87 is giving vibes that BTC could be ripe for selling soon, although based on Welles Wilder’s interpretation of an overbought asset, confirmation will only happen once the RSI breaches 70 to the downside.
The Awesome Oscillator (AO), showing large volumes of green histogram bars, demonstrates that bulls are still leading the market. With such an outlook, Bitcoin price could record yet more gains.
BTC/USDT 1-day chart
On the other hand, if profit-takers overpower the buyers, Bitcoin price could descend, possibly losing the $31,777 critical support. A continued slump could send BTC lower, crossing below the $30,000 psychological level. Bear targets in such a directional bias would include $28,000 followed by $25,000, both psychological levels.