- Kaiko revealed in an X post that the GBTC discount is at its most narrow in years.
- According to the post, the GBTC discount stands at just 8% ahead of the possible ETF conversion.
- Technical indicators on GBTC’s daily chart suggested that its price may continue to rise in the next few days.
The blockchain intelligence platform Kaiko revealed in an X (formerly Twitter) post yesterday that the Grayscale Bitcoin Trust (GBTC) discount is at its most narrow in years. According to the post, the discount stands at just 8% ahead of GBTC’s potential exchange-traded fund (ETF) conversion.
Meanwhile, data from TradingView shows that GBTC was up 4.35% and stood at $35.10 at press time. This was after it was able to rise above the major resistance level at $32 over the past 72 hours. Should this bullish momentum continue, GBTC could rise to as high as $40.15 in the next few days.
This bullish thesis will be invalidated if GBTC closes a daily candle below the $32 mark in the coming week. In this more bearish scenario, GBTC could fall to the subsequent support level at $27.80 in the following couple of days.
Technical indicators on GBTC’s daily chart did, however, suggest that it may continue to rise in the next few days. Both the Moving Average Convergence Divergence (MACD) and the Relative Strength Index (RSI) indicators were flagging bullish at press time.
The MACD line was positioned above the MACD Signal line and was sloped positively. This may indicate a continuation of GBTC’s positive trend. In addition to this, the RSI line was positioned above the RSI Simple Moving Average (SMA) line. Traders normally identify this technical occurrence as a sign that buyers have more strength than sellers.
Furthermore, the RSI line was sloped positively towards overbought territory, which could signal that buyers retained their strength against bulls at press time. If these technical indicators are validated, GBTC could rise to the aforementioned $40.15 barrier soon. With enough buy pressure, it could even overcome this significant level as well.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
