Home Bitcoin News Three key events of the week determining the continued growth of Bitcoin

Three key events of the week determining the continued growth of Bitcoin

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Crypto News

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Last week, Bitcoin rose to $62,626, turning around literally a step away from the historical maximum of $64,234. Bulls took a break to win back the event that led to a new wave of purchases last week.

Tonight, with the opening of the US stock markets, the provider of exchange-traded products ProShares will receive the right to issue $BITO shares tied to the BTC futures rate.

After three years of waiting, American investors will have access to Bitcoin ETFs. Direct trading of $BITO will start on October 19th, unless the US SEC issues objections on October 18th.

Both events suggest very volatile trading. The bulls’ attempts to raise the Bitcoin exchange rate to new highs will be opposed by the selling positions of speculators who fix profits upon the launch of the ETF, as well as on the results of the first trading of the fund’s shares. Exactly how much money investors will invest in the ProShares product at the start will depend on whether this trend continues or not.

The US SEC approved the Bitcoin ETF at the right moment. On Wednesday, a meeting of the People’s Bank of China will be held, trapped in industrial inflation. China’s producer prices rose by 10% last month, setting a record for the 21st century.
The central bank will have to increase the rate or manipulate the yuan exchange rate in order to keep the export of goods competitive. Any decision will force Chinese investors to turn to defensive assets.

One of them was Bitcoin, access to which the authorities tried to close as much as possible in September. The appearance of Bitcoin ETFs on the American stock market will allow circumventing China’s bans on investing in cryptocurrency.

On Wednesday, another important statistic will be released that can become a driver of Bitcoin’s medium-term growth. The eurozone will publish inflation figures, whose rise may force the European Central Bank to act in the direction of tightening monetary policy.

Similar forecasts have already led to a drop in the dollar index last week. The weakening of the US currency is reflected not only in fiat currencies, but also stimulates the purchase of digital assets. This factor may be in effect until the ECB meeting scheduled for October 28.

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