On October 16th, following the news of the SEC approving iShares Bitcoin Spot ETF, the price of Bitcoin (BTC) surged 10% during the early New York session, reaching a peak of $30,000. However, this rally proved to be short-lived after confirming that the news was false.

Despite the confirmation, losses have already been incurred for traders who went short on perpetual contracts. Coinglass data shows that nearly $80 million in short positions were liquidated, along with about $18 million in long positions.

Bitcoin Contract Liquidations, Source: CoinGlass.

While shorts suffered losses, the broader market also witnessed over $1 billion worth of open interest disappear due to the false reports.

Bitcoin Open Interest, Source: TradingView.

The price trend of BTC on October 16th indicates that the market is ready for the positive development of a Bitcoin spot exchange-traded fund (ETF). Despite multiple delays, the cryptocurrency market remains hopeful for approval. However, caution should be exercised to avoid another similar massacre triggered by false reports.

This false rumor pushed the Bitcoin price towards the $28,000 range, with the relative strength index (RSI) remaining above the 50 level. The significantly long candlestick wick caused by speculative falsehoods resembles an "exhaustion candle," which could actually signify a reversal of the short-term uptrend and the arrival of more downward trends.

Therefore, the Bitcoin price may lose all the gains made in October and potentially break below the psychological support level of $26,000 provided by the uptrend line.

BTC/USDT 1-Day Price Chart, Source: TradingView.

Next, only a daily candlestick closing price above the resistance level of $29,747 can reconfirm the upward trend and pave the way towards the psychological region of $30,000. In a highly bullish scenario, the Bitcoin price could surpass the July peak, breaking the range high of $31,804. This would result in a 15% increase from current levels, offering considerable profit potential.