Bitcoin soars and touches $29,000; "Everyone is talking about it once again"

Bitcoin is one of the main events of Wednesday´s session, as it rises strongly and is close to $29,000 (+7.9%, $28,935). After living some complicated days, marked by the action of the US Securities and Exchange Commission (SEC) against Binance and Coinbase and by the decision of the Federal Reserve, as it will continue to raise rates, which led it to put $25,000 in play, the cryptoking is clearly recovering.

One of the things that has led to its rises has been BlackRock's decision to request the approval of a Bitcoin ETF from the SEC. This shows that the institute not only has faith in digital gold but still sees great potential in it, now that its price is a bargain, experts commented earlier in the week.

"This may be the last time we see Bitcoin´s price where it is trading."

"Bitcoin seems to be the flavour of the day and everyone seems to be talking about it once again. The thing is that fundamentals have started to shift for Bitcoin in terms of news flow," commented Naeem Aslam, chief investment officer at Zaye Capital Markets.

"For instance, Binance, which is the largest crypto exchange, seems to have settled its case with the US over its US assets. This is really good not only for the exchange but also for the crypto space, as the less time you spend with the SEC arguing this matter and focusing more on growth, the better," the expert added.

Binance has reached an agreement with the SEC to avoid a total freeze of its assets in the US. The agreement seeks to protect billions of users' dollars, short of a total shutdown of the platform, as the financial regulator originally demanded.

"In addition to this, retail investors who have been flushed out a number of times, mainly due to the whipsaw moves in the Bitcoin price and also due to the adverse news flow over the past number of months, are feeling FOMO (fear of missing out) once again. Basically, they are looking at the news flow, such as that Fidelity has filed for the Bitcoin ETF and BlackRock has filed for the spot Bitcoin ETF, and then scratching their heads, wondering why they didn’t remember these fundamentals for the space, as this is not that they just decided over night that they were going to file for the spot Bitcoin ETF," explained Aslam.

"This matter has been in play for a while, but the fact that institutions like BlackRock have filed for the ETF at a time when the SEC started to clamp down on all other players who weren’t playing by the rules is sort of a big thing to consider. Traders know that BlackRock has a great history of succeeding with the SEC, and they know that the spot Bitcoin ETF was the way forward for the institute to come together on this matter," the expert stated.

"We are highly optimistic that this particular event is actually going to help the fundamentals and the price action of Bitcoin," Aslam remarked.

"In terms of technical price, the only level that matters the most is the 50K price mark, but in between that, we have small resistance levels like 30K and 40K, which once cleared will only build more momentum for the price," he concluded.

Translator: Alejandra Zamora