Bitcoin likely to rally to $40,000 target, BTC holders await halving and Spot ETF approval


  • Bitcoin is now 20,780 blocks away from the fourth halving event. 
  • Asset manager Ric Edelman says financial advisors are waiting for BTC Spot ETF approval to provide Bitcoin to clients. 
  • BTC price is on track to hit its $40,000 target according to a crypto analyst.

Bitcoin is inching closer to the anticipated fourth halving event, scheduled for April 17, 2024, tentatively. BTC price is likely to rally to its $40,000 target; analysts consider this level a “magnet” for Bitcoin.

At the time of writing, Bitcoin price is at $38,141, on Binance. BTC yielded 2.27% gains in the past week.

Also read: Kyber exploiter asks for complete control of all assets after nearly $50 million exploit

Daily Digest Market Movers: Bitcoin closer to halving event, Spot ETF approval anticipation brews

  • Bitcoin’s halving events are considered key milestones in the asset’s cycle. Halving helps counteract inflation in Bitcoin and maintain the asset’s scarcity. The fourth halving event is scheduled for April 2024 and BTC is now 20,780 blocks away from it, according to data from buybitcoinworldwide.

Bitcoin halving clock

  • Bitcoin Spot ETF approval anticipation is brewing among holders. Ric Edelman, founder of the Digital Assets Council of Financial Professionals (DACFP), believes that 77% of advisors are waiting for spot Bitcoin ETF approvals to provide crypto asset exposure for clients.
  • Edelman revealed that a recent survey indicated that 47% of financial advisors personally own Bitcoin, this gives credibility to their recommendation to clients, according to the asset manager. 
  • MicroStrategy, one of the largest BTC holding institutions added 16,130 Bitcoins to its holdings, at an average price of $36,785 per token. The business intelligence firm now holds 174,530 BTC, worth nearly $5.28 billion, with an average price of $30,252. More institutions are expected to line up to acquire BTC tokens, likely when a batch approval for Spot Bitcoin ETFs comes. 

Technical Analysis: $40,000 is a magnet for Bitcoin

Bitcoin price sustained above the $38,000 level, yielding 1% gains on the day. Pseudonymous crypto analyst, CryptoKaleo, evaluated the Bitcoin price trend and identified $40,000, as a magnet for Bitcoin price. The analyst predicts a BTC price rally to $40,000. 

BTC/USDT 1-hour chart

Alex RTB, analyst behind the X handle @rutradebtc reaffirms Kaleo’s prediction and argued that BTC is likely to hit the $40,000 target this week. The analyst identified an ascending triangle setup in the Bitcoin price chart, a bullish continuation pattern. 

BTC/USDT 4-hour chart

A daily candlestick close below $37,500 is likely to invalidate the bullish thesis for Bitcoin price.

Cryptocurrency metrics FAQs

The developer or creator of each cryptocurrency decides on the total number of tokens that can be minted or issued. Only a certain number of these assets can be minted by mining, staking or other mechanisms. This is defined by the algorithm of the underlying blockchain technology. Since its inception, a total of 19,445,656 BTCs have been mined, which is the circulating supply of Bitcoin. On the other hand, circulating supply can also be decreased via actions such as burning tokens, or mistakenly sending assets to addresses of other incompatible blockchains.

Market capitalization is the result of multiplying the circulating supply of a certain asset by the asset’s current market value. For Bitcoin, the market capitalization at the beginning of August 2023 is above $570 billion, which is the result of the more than 19 million BTC in circulation multiplied by the Bitcoin price around $29,600.

Trading volume refers to the total number of tokens for a specific asset that has been transacted or exchanged between buyers and sellers within set trading hours, for example, 24 hours. It is used to gauge market sentiment, this metric combines all volumes on centralized exchanges and decentralized exchanges. Increasing trading volume often denotes the demand for a certain asset as more people are buying and selling the cryptocurrency.

Funding rates are a concept designed to encourage traders to take positions and ensure perpetual contract prices match spot markets. It defines a mechanism by exchanges to ensure that future prices and index prices periodic payments regularly converge. When the funding rate is positive, the price of the perpetual contract is higher than the mark price. This means traders who are bullish and have opened long positions pay traders who are in short positions. On the other hand, a negative funding rate means perpetual prices are below the mark price, and hence traders with short positions pay traders who have opened long positions.


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