- Bitcoin’s price has dropped 3% in the last 24 hours, falling to $36,360 and retracting from its recent peak around $38,000.
- The SEC continues to defer its decisions on spot Bitcoin ETFs, extending the decision date for Hashdex’s application from the initially set Friday to January 1, 2024.
- Beyond Bitcoin, the second-largest crypto, Ether, fell over 4% to below $1,970. Smaller tokens or altcoins also experienced declines.
Bitcoin investors are watching the SEC’s decision on the spot Bitcoin ETF today; is the SEC still persistent in deferring? The current state of the market!
Bitcoin Investors’ Eyes on the SEC Today
While Bitcoin and other cryptocurrencies experience a decline, investors remain optimistic that the recent rally in digital assets will continue as they await the regulatory decision on expected crypto funds. Bitcoin’s price has dropped 3% in the last 24 hours, falling to $36,360 and retracting from its recent peak around $38,000; this is the highest level since cryptocurrencies entered a severe bear market in May 2022.
Bitcoin, surging by over 30% in a few weeks, exited a several-month period of calm crypto trading, encountering consistent resistance at the $38,000 level. Rachel Lin, CEO of SynFutures, said:
“Bitcoin experienced a slight retracement after reaching the $38,000 level this week. Currently, the $38,000 level is acting as resistance, and Bitcoin is breaking out of the zone twice in two weeks. On the downside, $35,000 is likely to act as the next support zone, followed by $31,500.”
The significant rise in Bitcoin, notably outperforming the Dow Jones Industrial Average and S&P 500, is largely attributed to the hope that regulators will soon approve the first spot Bitcoin exchange-traded fund (ETF). Such a fund is expected to hold the cryptocurrency itself, and widespread investor interest is anticipated to support digital assets.
SEC hasn’t abandoned its strict stance
The U.S. Securities and Exchange Commission (SEC) continues to defer its decisions on spot Bitcoin ETFs, extending the decision date for Hashdex’s application from the initially set Friday to January 1, 2024. A decision regarding Franklin Templeton’s spot Bitcoin ETF application was also expected on Friday.
Despite delays in one of the most anticipated crypto catalysts of the year, investors remain decidedly optimistic about Bitcoin’s momentum and foresee further gains ahead.
Lin continued: “The inflow of money into the crypto ecosystem continues strongly, marking the seventh week of positive inflow. The options market remains unchanged, with the most open positions for November and December being call options between $30,000 and $50,000. The open position call option to put option ratio is currently two to one, indicating a strong bullish trend.”
Call options represent contracts that give investors the right to buy an asset at a specific price; thus, calls up to $50,000 imply investors foresee Bitcoin approaching or reaching this level this month or next; put options, on the other hand, represent bearish bets.
Beyond Bitcoin, the second-largest crypto, Ether, fell over 4% to below $1,970. Smaller tokens or altcoins also experienced declines; Cardano dropped 7%, and Polygon fell 9%. Memecoins were more mixed, with Dogecoin rising 3% while Shiba Inu lost 2%.
