Bitcoin rose early Monday, reaching $61,975, or 5.5%, after falling on Saturday and Sunday to nearly $59,000, before the expected approval of US exchange-traded funds.
According to Arab Net, the focus is on Bitcoin, as the first ETF linked to the token may be launched on Monday, according to a filing.
For his part, CEO of crypto derivatives exchange Delta, Pankaj Palani, said that Bitcoin is likely to challenge its record highs amid the emergence of the first ETF but it would not be surprising that We see some profit taking taking place around these levels as traders may look to sell the news.
In general, Bitcoin's volatility will be high regardless of how the decision is implemented.
Bitcoin has more than doubled since the start of the year, despite significant swings in its trends, as the market faces narratives from increased institutional adoption and increased asset class maturity to a crackdown Cryptography in China and concerns about energy use.
Other cryptocurrencies were also higher on Monday, with Ethereum up about 3.4%. Binance regained the third place in cryptocurrency market capitalization after a 17% increase in the past seven days, according to CoinGecko.com.
The technical setup for bitcoin's recent rally is a concern for Rick Bensignor, president of Bensignor Investment Strategies and former strategist at Morgan Stanley, who added in a note Monday: Monday's price action, might make me think twice about buying Bitcoin now, especially since it's at all-time highs.
Bitcoin's 43% surge so far in October has pushed the cryptocurrency into overbought territory, according to RSI data.
However, Bensenor added that open interest has increased significantly in the October rally - which means there is a lot of fresh selling in this bullish move which is still buried.
