Analyst Antonov told RBC what will happen to the Bitcoin rate from April 29 to May 1
The expert analyzed the market situation and told how it could change in the coming week. Does not constitute a solicitation or investment idea.

On Monday, April 29, Bitcoin (BTC) is trading around $62.5 thousand, its price has fallen by about 5% over the past week. The specialist analyzed the market situation and assessed the prospects for the movement of the Bitcoin exchange rate over the next seven days.

Bitcoin spent the week in the range of $62,391 - $67,232, failing to gain a foothold above the key level of $68 thousand. Below are the main events that influenced it during the week:

1. Reduced tensions between Israel and Iran, which contributed to the rise of Bitcoin on Monday. Tehran refused to retaliate against Israel's attack. The price set a weekly high of $67,232.

2. The price collapsed on April 24 after failing to break above $68,000 ahead of the release of US Q1 GDP data on Thursday, which showed the economy growing just 1.6% year over year. High inflation risks may force the Fed to keep rates at elevated levels longer than previously thought. Dollar support, pressure on risky assets.

3. The fall of Bitcoin continued after the publication of inflation data. US core inflation data for March (PCE index) was higher than expected - 2.7% year on year, raising concerns about further tightening of monetary policy by the Federal Reserve.

4. The US Securities and Exchange Commission (SEC) has delayed a decision and opened a comment period regarding the possibility of trading options on Bitcoin spot ETFs, and has also delayed approval of applications for spot ETFs on Ethereum (ETH).

5. Negative funding rates on Bitcoin perpetual futures contracts signal that traders are beginning to lose faith in Bitcoin's continued growth after the halving.

Traders have become less likely to buy back Bitcoin during drawdowns. Why is this happening
Against the background of the dollar rally, the BTC/USDT pair dropped to $62,391. At the same time, the interest of large financial institutions in the cryptocurrency market remains, which may support Bitcoin in the coming days. And the growth of “ether” on expectations of the approval of the Ethereum spot ETF demonstrates the continued optimism of investors.

On April 27, the Bitcoin rate fell by 0.48%, to $63,461. At the same time, the ETH/USDT pair rose by 3.97%, to $3,255. Bitcoin's recovery was tempered by a sharp rise in the ETH/BTC pair. ETH's strength continued on Sunday. The ETH/USDT pair rose to $3339. The BTC/USDT pair followed it up to $64,370.

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A sharp increase in the price of “ether” could be caused by a message that the ticker of a spot ETF on Ethereum from Franklin Templeton has appeared on the list of the Depository Trust and Clearing Corporation (DTCC). Investors saw this as a possible signal that the SEC could approve an exchange-traded fund for the second-largest cryptocurrency.

Even though prominent financial firms such as BlackRock, Grayscale, VanEck, Fidelity and others have filed applications for an Ethereum-based spot ETF, the SEC has continually delayed them. Accordingly, the appearance of a ticker symbol does not guarantee approval by the SEC, which has the sole authority to approve or disapprove such investment products.

In the near future, the key factor for Bitcoin will remain the policy of the US Federal Reserve. If the regulator continues to tighten due to stubbornly high inflation, it will put pressure on risk assets. It is important for the market to overcome the resistance zone of $67,300 - $68,000. According to BitRiver, if this does not happen, a new round of Bitcoin price decline to $60,000 is likely. The likelihood of a collapse will decrease if buyers are at least able to gain a foothold above $65,500 in a couple of days.