SEC Commissioner – Decent Spike in Value of Cryptocurrency – Buying and Selling Evened OutFebruary 11, 2019
An upward move, downside correction, revisiting the support area, positive price action, bullish move, resistance, and bearish trends are reported every day for the different cryptocurrencies.
It was thought that Bitcoin would sustain a bearish trend and create new lows down $3,421; however, the coin held it and proceeded to move high bringing the market cap value back to the 60 billion levels.
Eventually, Bitcoin surged by a total of 11% high in the market thereby having the price surge to the peak at $3,802 after which it stalled. The market cap of Bitcoin has gone up in the graph, and now it is trading at around the $64 billion levels.
Robert J. Jackson, the SEC commissioner, reported in the past week that approval of Bitcoin ETF is inevitable. He further added it is not about whether Bitcoin ETF will be approved, but it is about when it will be approved.
Since SEC must protect American Investors, they have strict procedures about setting requirements that ETFs should meet. The reason for rejecting the ETFs have been stated to be due to concerns like market manipulation, liquidity, and custody. The SEC commissioner by his recent announcement brings in a wave of optimism which makes us believe that there will be proposals that will qualify with the established guidelines for the approval.
The cryptocurrency market showed a mixed signal, and most of the crypto was range bound. The recent trends in the overall market can be attributed to the SEC announcement. Ethereum and Ripple are continuing to fight for the second place. The decent spike in the value of the Litecoin has had Litecoin move to fourth place in the rank list.
In the current scenario, it is seen that the entire market is depending on the regulatory actions and news from the government agencies before making any further progress. Positive signals or contrary will be seen only after confirmatory information from the regulatory and governmental bodies.
And it is seen that the market is also overly focused on the upcoming Ethereum hard fork. The Bollinger bands for Ethereum are showing bands that indicate less volatility in the market. The Parabolic SAR is indicative of a bearish wave. The MACD is showing a bearish move with the moving average line and the signal line being at the point of the cross over. Chaikin money flow showed that money is flowing out of the market. The RSI is showing buying and selling pressure with each of these pressures being evened out by each other.