Bitcoin 10% increase in a day - why?

[BrianH]

Bitcoin has been steadily falling the last month... Today, it popped over 10%.

What do you think changed?
*China ban banning crypto
*October?
*Delaying the damaging US Infrastructure Bill that is set to ban cryptocurrency software development, cryptocurrency mining, make sending >$10k a felony without getting recipients SS# etc and many other Bitcoin restrictions? P.S. Contact Congress.

In my opinion, this is all directly attributable to the US Infrastructure bill that has massive implications for the industry. If it passes, this will have cascading impacts worldwide as other countries adopt similar measures to the US. China officially banning Bitcoin seemed to have no directly attributable impact, because I think that was already priced in. It being October seems unlikely that it would pop like this in a day.

What is your opinion?

[electronicash]

it could be just the start of the month. after a week it may dive to 40k again.

or perhaps the news update. i was reading just the headline of the news, it was jerome powell who said "they will not ban crypto". i guess the investors thought they are guaranteed. maybe they really won't.

heres the link https://www.nasdaq.com/articles/federal-reserve-chair-jerome-powell%3A-u.s.-has-no-plans-to-ban-bitcoin-and-crypto-2021-09

[mk4]

Why? More like, why not? lol

But to answer your question: while there's no way to know for sure, it's probably the case that the "ChiNa BaN" is just another redundant fad, and the fact that Jerome Powell said that the SEC has no intentions of banning bitcoin. (not like they can ban it in the first place)

[Lucius]

@BrianH, I know that September 27, 2021, was mentioned as the date when the vote will take place, why there was a delay and when the decision could finally be known?


I think we can guess why the price jumped about 10%, it is possible that this has to do with what Powell said, which could be considered a positive incentive for investors who are more than obvious in fear about everything that is happening in the US. There was also news of massive BTC shorts liquidated ($47 000 000) posted in WO.

Perhaps the simplest thing would be to say that Q4 has started, and many have been betting for a long time that those three months will be what has been waiting for a long time.

[Baofeng]

Or maybe it is because of the SEC extending the approval of Valkyrie XBTO Bitcoin Futures Fund filing by 45 days.

Section 19(b)(2) of the Act4 provides that within 45 days of the publication of notice of
the filing of a proposed rule change, or within such longer period up to 90 days (i) as the
Commission may designate if it finds such longer period to be appropriate and publishes its
reasons for so finding or (ii) as to which the self-regulatory organization consents, the
Commission shall either approve the proposed rule change, disapprove the proposed rule change,
or institute proceedings to determine whether the proposed rule change should be disapprove

https://www.sec.gov/rules/sro/nasdaq/2021/34-93172.pdf

And as September continue its pattern to be one of the worst, October is the month wherein we are into the recovery mode.

Edit: there are 3 other Exchange-traded funds (ETFs) approval being extended at a later date: Global X Bitcoin Trust, WisdomTree Bitcoin Trust, Kryptoin Bitcoin ETF.

[ChiBitCTy]

Why? More like, why not? lol

But to answer your question: while there's no way to know for sure, it's probably the case that the "ChiNa BaN" is just another redundant fad, and the fact that Jerome Powell said that the SEC has no intentions of banning bitcoin. (not like they can ban it in the first place)

Yeah I'm pretty sure that this is the main catalyst for why bitcoin has skyrocket over night essentially.  You're right, there is no way to truly ban or stop bitcoin, but if the United States ever did want to ban exchanges lets say, it would absolutely crush it.  I'm not saying it would destroy it and it would go away, but it would make it a lot more difficult for most people to be able to buy/sell.  Lets hope it doesn't happen.

[Slow death]

just look at the chart:

every time the bitcoin price drops to a strong support and cannot make the price fall below this support, it starts to rise a lot until it reaches a very strong resistance and when it cannot break this very strong resistance the price starts to fall a lot until that it achieves very strong support, this has been happening for years. don't have any surprises

[RapTarX]

Wow, that's a pretty big piece of daily candle. Haven’t seen this for a quite long time I guess. I was planning to have purchased some BTC if it gets around $35k but it gave me no chance.
This time it seems different though. I guess after this quite long bearish season, there's something good is coming. Maybe a new ATH!

[sheenshane]

Months of October was predicted by many of them (technically) that Bitcoin will pump at this month or it's the start of the bull market until on last quarter of the month.  I think there are too many factors to consider why Bitcoin price pumped fast in just an hour.  I think here they are and forgot China banning, people can accumulate there even it's banned.

A possible reason was,

• Nations legalization, I heard there are 4 countries who declared Bitcoin is on legal tender in their place, triggered by El Salvador.
• ETF approval by SEC, plus points.
• Big companies Bitcoin adoptions
• It's a normal fluctuation that could possibly be because it's volatile nature.

[stompix]

Or maybe it is because of the SEC extending the approval of Valkyrie XBTO Bitcoin Futures Fund filing by 45 days.

Hardly a cause for such a pump in such a short time.
There was far more positive news that didn't trigger such buy orders and this one is just an extension on deciding something, it is not like they will definitely approve it, they're just postponing the decision.

The Commission finds that it is appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change and any comments.

It's just the usual, green candles or red ones out of the blue, you have hundreds of events that should influence the price and it stays flat, then out of the blue huge jumps in both directions. Well, at least this one is up so there won't be anyone complaining about manipulation.
As for what Powell said, shouldn't have that triggered a jump when the news came, roughly 24 hours ago and not almost a full day after?

[Beparanf]

A typical price fluctuations after a hard FUD then a series of good news for opening a monthly candle. But still Bitcoin need to break and stay on 50K level to confirm this bull trend or else it will just dead cat bounce and prolong the bear market. There is no solid news about Bitcoin besides the comment of Powell and some positive sign against USDT case.

I'd rather wait for a confirmation before I will celebrate although I really have a good profit on this short term bull run. I already setup a trailing stop loss in case my assumption was correct just for safety precautions.

[Ararbermas]

Maybe it's because of some good news nowadays reasons bitcoin keep making good pumps until now such IRAN lifts bitcoin mining and some prediction  also that it will tends to touch $48k within this month or road to $100k and etc . Well we all knows that crypto market is about news wherein when there's someone saying it will go up especially if the influencer is popular there's always a good results afterwards. And indeed not just bitcoin showing ups right now wherein all popular alts as well in the market in my view , so let's just grab the opportunity to obtain profits, i mean no matter what happen if however it will change direction again at least we are all goods.. Lol

[Ultegra134]

I don't think there's much reason behind it, bad news don't last forever, especially if they are coming from China. Let's keep in mind that it's not the first time China has taken action against cryptocurrencies. Bitcoin is like a rollercoaster, in less than a week, it could lose 10% of its value, just like it gained today. Its capabilities are quite surprising though, such an increase, within a single day, is an achievement.

[Fesatmas]

Either Bitcoin will rally again or this is some kind of resistance. Looking at the $47k - $48k area it will show the area that was visited again. Just don't know when. I think so far this $47k is quite worrying But I hope that this trend can be broken and actually continue its rally back into January.

[dothebeats]

Why not? There isn't much negative news circulating around lately after the supposed China ban, plus some rare comments from Powell. The latter could not necessarily be the cause for the sudden increase, but hey, it adds up.

Then again we don't have any solid basis for the movement of bitcoin recently. Perhaps other traders know something that we don't, which would only be unveiled in the next few days or weeks.

[jakdanyel]

It is a nice question but there is no way that we can know the reason for certain. Because Bitcoin is a highly volatile cryptocurrency. Everything can change suddenly while there is no reason for it. And this pump happened even though China has decided to ban cryptocurrencies fully. People were expecting the opposite after this action actually. But this market still continues to surprise us.

[The Cryptovator]

It's pretty simple when investors interest increases then prices start to move up. It's true some news influence the price. I have seen the news US doesn't intend to ban Bitcoin and after that investor's interest goes up and at the same time price pump as well. This isn't the unusual behavior of Bitcoin.

[MinoRaiola]

What is your opinion?

September has often been a bad month for Bitcoin and Co, check it out here: https://www.bitcoinmonthlyreturn.com/ - October, November and December is mostly positive. It's early on day 1 to go up like this, but many expected it. In the next months i think mastercard will acceptance bitcoin transactions. This was announced at the beginning of the year.

[shield132]

Lately I found that it doesn't matter what, technical analysis gives you the most accurate predictions. When you find that after analysis it's time for bitcoin to fall but you can't find any news around that will strenghten that fact, then boom, someone does something that will make bitcoin's price to fall. It just somehow automatically happens from different corners, there was Elon musk who made bitcoin's price to fall after all-time high, then it was regaining loses but China did a huge shot and bitcoin went down to 30K. Then bitcoin was in stuck and couldn't rise up and when you thought that technically it had to rise, then boom, rumors from amazon skyrocketed it's price. Haha, these price movements are so hilarious and funny.

[Fatunad]

Having some read ups about possible causes but  these arent accurate but really worth to read on.

‘Coinbase Premium’ Indicates ‘Whales’ on Binance May Be Behind Bitcoin’s Rally
Bitcoin history repeating? 3 indicators suggest October will reignite the BTC bull market

Im not really that a fan on tagging events but this could be the nearest reason.