Bitcoin Rallying Ahead of SEC Deadline
BTC Higher on Monday
Bitcoin prices are on the rise today as optimism over expected SEC approval of ETF applications continues to build. The SEC currently has until January 10th to decide on the current batch of applications. Names such as BlackRock, Fidelity and Grayscale Investments have submitted applications with news this week that Fidelity has filed an 8-A form with the SEC to have its spot Bitcoin ETF listed on the Cboe BZX Exchange. This has led to some confusion as to whether the SEC had approved the application though, for now, no such announcement has been made.
8-A Submissions
The submission by Fidelity, which has been mirrored by other applicants. The 8-A form seeks to have the respective funds ETF listed as tradable securities on the Cboe BZX exchange. While the listing o the form doesn’t necessarily mean that the SEC has approved the applications, it certainly suggests that approval is more likely/expected.
SEC Deadline Jan 10th
Looking ahead this week, Bitcoin and the broader crypto space looks poised for fresh gains if SEC approval is granted. We’ve seen a significant rally in recent months linked to optimism over such an outcome though on the back of the order book clear-out we saw late December, there is plenty of room for a further push higher on good news this week.
On the other hand, given the built-up level of bullish expectations in the market, if the SEC shocks the market this week by rejecting applications or simply frustrates the market by further delaying its decision, this will likely see BTC coming under heavy near-term selling pressure. As such, plenty of two-way risk to be navigated this week.
Technical Views
BTC
The market is once again pushing up against the 45520-level resistance. With momentum studies pushing higher, the focus is on a breakout above the level with 48350 the next upside objective for bulls. To the downside, 43015 remains the key support to watch with 40345 and the bull channel lows the deeper support area to note.
.png)
Disclaimer: The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.
Past performance is not indicative of future results.
High Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% and 75% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Futures and Options: Trading futures and options on margin carries a high degree of risk and may result in losses exceeding your initial investment. These products are not suitable for all investors. Ensure you fully understand the risks and take appropriate care to manage your risk.
With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.