The crypto market has seen gains due to a mix of technical and fundamental factors, with traders assessing oversold levels and the potential approval of the first Bitcoin ETF by the SEC. The market’s capitalization grew by over 2% to $1.05 trillion, with Bitcoin rebounding 8.5% from its June 15 lows. Growing speculation around BlackRock’s Bitcoin ETF application has also helped the market bounce, with market analyst Lark Davis predicting that a SEC approval could result in the asset manager purchasing every single Bitcoin available across exchanges. From a technical perspective, the crypto market has ranged inside a bull flag pattern since April 2023, raising prospects of continuing its recovery trend toward $1.37 trillion into the second half of 2023. However, bears may push the market cap below the bull flag’s lower trendline, risking invalidating the bullish setup altogether.
