- October 15, 2023
- Posted by: [email protected]
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Bitcoin once again grabs the spotlight amidst a backdrop of global events. While it currently sits at $26,831, showing a slight 0.10% increase on Friday, it has experienced a nearly 3% decline over the last week. The entire cryptocurrency market is poised with bated breath, awaiting several influential factors.
The Consumer Price Index (CPI) data has triggered a 3% drop in Bitcoin. Simultaneously, JPMorgan eagerly awaits the SEC’s ruling on an ETF, a decision that holds significant sway over Bitcoin’s short-term price direction.
Adding complexity to the regulatory landscape, the impending deadline for the SEC to address its August 29 setback concerning Grayscale is imminent, with the Commission having only until midnight on Friday to respond.
The escalating Middle East conflict raises concerns within the digital currency industry. In response to this urgency, Coinbase’s CEO has appealed to Congress, stressing the need for swift and rational cryptocurrency legislation in these turbulent times.
On August 29, Grayscale Investments secured a significant legal win when the D.C. Circuit Court ruled in their favor, permitting the conversion of their Bitcoin Trust (GBTC) into an exchange-traded fund (ETF). The court found the US Securities and Exchange Commission (SEC) had unjustifiably denied the proposal.
The SEC was granted a 45-day window to file an appeal, with the deadline set for October 13 at midnight. If the SEC opts not to appeal, it’s effectively an approval, potentially clearing the path for the first spot Bitcoin ETF in the US.
However, market speculations hint that alternative arguments might be employed to reject the ETF, possibly associated with Coinbase’s involvement. This outcome could have repercussions for the cryptocurrency market, including potential selling pressure.
Coinbase’s Chief Legal Officer, Paul Grewal, has urged the US Congress to swiftly enact sensible cryptocurrency legislation as the Middle East conflict intensifies. He emphasized the importance of the crypto industry thriving in nations that uphold the rule of law rather than being pushed into regions with less regard for human rights and public safety.
The majority of crypto tokens, excluding Bitcoin, are categorized as securities by the US Securities and Exchange Commission, subjecting crypto platforms to regulatory scrutiny. Grewal’s call for sensible cryptocurrency legislation may find favor within the crypto community, which seeks legitimacy and regulatory clarity. This development could contribute to a more optimistic market outlook, potentially drawing more institutional investors and boosting overall confidence in the cryptocurrency market.
As of October 13th, Bitcoin (BTCUSD) is trading at $26,793.09 with a 24-hour trading volume of approximately $9.43 billion. Despite a minor 0.04% dip in the last day, it maintains its top position on CoinMarketCap with a market cap nearing $522.79 billion. The dominant cryptocurrency has 19,512,131 BTC in circulation out of its maximum of 21,000,000 BTC.
Technical analysis from a 4-hour chart reveals a pivotal point at $27,208. Resistance levels are noted at $27,909, $28,636, and $29,304, while support levels are seen at $26,461, $25,779, and $25,044. With an RSI of 33, the momentum suggests a potential oversold condition. The 50-day Exponential Moving Average closely aligns with the pivot at $27,284. The immediate trend appears bearish if Bitcoin remains below $27,208.
