Bitcoin is currently trading at just over $26,000be one drop of more than 4.40% over 24 hours, in a context that combines challenges and opportunities. A landmark court ruling in favor of Grayscale has become a beacon of hope, paving the way for Bitcoin innovation in the United States. And legal expert Vivek Ramaswamy underlined the importance of this verdict for the growth of Bitcoin in the country.
At the same time, concerns loom on the horizon. There SEC decision to delay registration of seven BTC ETFs in cash dampened the ardor of investors, causing fall the price of BTC. And Biden regulators are now in a rush to join forces with Congress to craft a robust regulatory framework for cryptocurrencies, creating both hope but also uncertainty.
Vivek Ramaswamy Says Grayscale Ruling Paves the Way for Bitcoin Innovation
Vivek Ramaswamy, Republican presidential candidate, believes that the recent court ruling favoring Grayscale Investments against the SEC will promote Bitcoin innovation in the United States. He has welcomed the decision to ensure that cryptocurrency development remains domestic rather than overseas. Ramaswamy criticized the referral of the case to court, saying the federal courts are now the defense against the actions of government agencies.
They are committed to repeal federal regulations that do not meet the standard of the Supreme Court of West Virginia compared to the EPA if elected. Although Ramaswamy’s comments favored BTC, they failed to generate enough positive momentum to support the price.
BTC holdings on exchanges drop to five-year low
Bitcoin Accumulation by Long-Term Holders Persists as Stock Market Holdings Hit Five-Year Low. On August 31, data from Glassnode indicated that Long-term held coins hit a 5-year high of 7.841 million BTC ($213 billion). These intact balances reflect both long-term holdings and coins stored at older addresses.
In parallel, Bitcoin held on exchanges hit 5-year low of 2.26 million BTC ($61.28 billion), likely due to regulatory pressures on Binance. Amid accusations from the SEC, Binance is looking to address compliance issues, while BTC/USD’s decline today could be influenced by this news.
Congress calls for collaboration with Biden regulators on cryptocurrency regulation
Several U.S. lawmakers urge regulatory agencies, especially the SEC, to work with Congress For create comprehensive cryptocurrency regulation. After the court ruling in favor of Grayscale Investments against the SEC, lawmakers affirm the need for clearer rules and strong consumer protections through legislation.
THE House of Representatives Financial Services Committee noted that thePresident Gary Gensler’s Law Enforcement Approach Lacks Effectiveness to protect consumers. Congressman Patrick McHenry pointed to the SEC’s difficulties in legal battles and stressed the need for a comprehensive regulatory framework like the FIT for the 21st Century Act, recently passed by relevant House committees. As the BTC/USD pair faces a severe downside today, the ongoing debate over regulatory frameworks is impacting market sentiment.
SEC Postponement of Seven Spot BTC ETF Filings Drives Bitcoin Price Down
The price of Bitcoin (BTC) has seen a drop of more than 4% in the past 24 hours and is currently trading at $26,011. This was triggered by the US SEC’s decision to delay several one-off BTC ETF applications, including those of leading companies such as BlackRock, Valkyrie and Fidelity. The SEC’s decision to pile decision deadlines onto the next 45 days indicates a probable simultaneous decision for the seven candidates around October 15.
This setback follows a recent rise on August 29, driven by news regarding Grayscale. It should also be noted that Bitwise has also retired an Ethereum futures app, potentially paving the way for its BITC product to encompass ETH futures.
Bitcoin Price Prediction
Bitcoin technical data indicates a recent downtrend, with a sharp decline from $27,300 to a low of $25,900. Bitcoin has already hit a 61.8% Fibonacci retracement at the $26,335 level in four hours. However, the bearish momentum shows no signs of stopping. BTC broke through the 61.8% retracement and appears to be heading towards the next significant support level at $25,900, which coincides with the 78.6% retracement. The two indicators, the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD), indicate bearish sentimentbecause they remain in the sales area.
As the continuation of the current downtrend is proven, it is essential to closely monitor the $25,900 level. Failure to breach this level could potentially trigger a bullish reversal, driving Bitcoin price towards resistance levels at $26,700 and possibly $27,400. The $28,000 mark should be a significant hurdle if Bitcoin manages to break above this range.
If, on the other hand, Bitcoin breaks below the $25,900 level, it could find support around $25,400, with a deeper drop down to $24,800. In summary, the $25,900 level is a crucial determinant of the direction of Bitcoin today.
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