Analysis of Bitcoin (BTC) Price and its Prospects in Light of SEC and Grayscale Decisions
Date: 2023-10-23 Author: Dima Zakharov Categories: CRYPTO PAYMENTS
Impact of SEC on Bitcoin's Price
Recent events in the cryptocurrency market have caused significant turmoil among investors. Financial analyst Pavel Sokol from FINMIR has examined the influence of the U.S. Securities and Exchange Commission (SEC) decisions on Bitcoin's price (BTC). Over the past week, the digital currency has been highly responsive to news related to the SEC.
One of the key developments was the potential approval of an Exchange-Traded Fund (ETF) for Ethereum (ETH), which could offer new investment opportunities for traders. Another crucial event was the announcement of the SEC discontinuing its legal action against Ripple and its executives. These news items had a substantial impact on the market and led to changes in Bitcoin's price.
Furthermore, the analyst mentioned a possible decision by the U.S. Federal Court in favor of Grayscale against the SEC. Such a decision could influence the Commission's future actions and its cryptocurrency-related policies. However, it's essential to understand that even if the court rules favorably, the next ETF application for Bitcoin or other digital assets may not automatically gain approval. SEC decisions remain a pivotal factor affecting the cryptocurrency market.
Bitcoin Price Forecast and Technical Analysis
According to Pavel Sokol's analysis, given the events described, there is a high likelihood of continued consolidation of Bitcoin's price within a broad range of $25,000 to $30,000. This scenario may persist until the beginning of the new year, with the possibility of changes, especially if an ETF for Bitcoin or Ethereum is approved. In such a case, investors and traders will exert pressure on the price while anticipating an influx of new funds.
From a technical perspective on the daily timeframe, the formation of a "major correction" in Bitcoin's price has been ongoing since November 2022 and is expected to continue until July 2023. The stages of this correction have not yet been completed, and the second phase of a three-phase correction is currently underway.
Pavel Sokol also points to the target range of $23,500 to $24,000 as ideal levels for completing the daily correction. This implies that the market may continue to move within this range before taking a new direction.
