So far I have:
A. They've made too much money this year.
B. It's Christmas and they would like their staff to have some time off.
C. Michael Saylor called, offering them another 30,000 BTC worth of subscriptions and they replied, "C'mon Michael, if we show another $650M coming into the fund the day after you've bought more, it's going to look a bit suspect."
D. Elon musk called and asked, "What's this Grayscale roll trade Michael's been telling me about?"
E. Something dark and sinister.
F. They did this back in Q4 2019, so there's nothing to worry about.
I hope it's A, B, and F, and not something that instead ends what has been the trade of 2020. Buy Bitcoin, subscribe to the trust, lend out your shares, take the cash, buy more Bitcoin, and repeat, repeat, repeat, then at the end, collect some premium. (You can read part of the story on this here.)
This year's rally owes a debt of gratitude to Grayscale: Let's hope this is a total non-story.
Today's price action has indicated a struggle. The bulls, happy to buy dips, have failed to take the market back above the key resistance level of $23,245. News that the SEC are considering suing Ripple for selling unlicensed securities has seen XRP drop just 4.46% today, Bitcoin is up 4.6%.
It would appear that the bears that have failed to make the most of a rare day of negative news.
Which means only one possible outcome...A new ATH must be imminent!
Wouldn't that be a nice Christmas present...
Momentum waned yesterday morning and was followed by quick-fire liquidations as Bitcoin felt selling pressure for the first time since December 8th. Support at $22,000 was quick to absorb and halt the downward move, with prices bouncing back to $23,245.
$23,245 has acted as a cap ever since, with a clear break higher likely to set up a push to $23,780 and another attempt at all-time highs.
Failure to push past $23,245 will see the downward pressure build once more. $22,260 and $22,000 will be the bears' obvious target. Further declines should we break $22,000 will take us to $21,730, before a deeper retracement to $20,820 finds the next round of dip buyers.
BTC rose another 3% yesterday, currently at $44,600 and tantalizingly close to the 45K resistance/support.
Bitcoin has enjoyed a positive trading session today, with prices up 7% post this morning's news that China had taken some small steps to avoid an immediate default from Evergrande. The addition of liquidity to the banking system may just be a shock absorber for next week's action, or it could be the first shot in a sustained program to assist with Evegrande's woes.