Last week, Bitcoin saw a 10% increase in value, leading many to believe that a bull market was on the way. Although predicting the future is difficult, there are certain factors that can be taken into account when forecasting its performance.
On January 28. The BTC/USD market opened on February 23, 2017 at $23,067.00. Since then, it has gained 0.07% in less than 24 hours to reach its current value of $22,971.00. Its value has also been steadily rising and has increased by more than 1% in the last week. It has been trading in a range of $23,181 to $252,942 for many years.
Arizona Politician Proposes Bills Making Bitcoin Legitimate Currency
Wendy Rogers, a United States State Senator from Arizona, tweeted several cryptocurrency bills on January 25. She cited research from Goldman Sachs that indicates Bitcoin is the optimal asset for any business. Additionally, legislation was presented to authorize Bitcoin payments in Arizona so state agencies can accept it from around the country.
SB 1235 is one of several proposals in Arizona that will allow companies to accept cryptocurrency for rent, taxes, fines, and other purposes. It would grant the ability to use Bitcoin for any transactions based on US dollars, allowing both individuals and companies to utilize the digital currency.
If the bill passes in Arizona, it would be the first state in the United States to formally adopt it. As long as it has been accepted, any debt would be subject to a charge. This is a positive outcome for BTC/USD.
The SEC’s Latest Crypto Regulations: What You Need To Know
On Jan. 20, US Securities And Exchange Commission (SEC) Commissioner Hester Peirce spoke at the “Digital Assets at Duke” convention along with several other speakers. The Commissioner emphasized that random registration violations have been pursued by the securities regulator.
The SEC might also investigate investment advisors who keep client funds on exchanges like FTX. The SEC has been studying the practices of investment advisors in regards to storing cryptocurrencies for months. However, the investigation has been accelerated since FTX filed bankruptcy, leaving tens to millions of depositors without funds.
The US agency is now investigating to see if the investment advisors have broken any SEC rules. Investment advisors cannot have custody of funds that are being shopped if they do not follow certain SEC guidelines. Additionally, advisors must keep money with a “qualified custodian” among other things.
The SEC is intensifying its efforts to regulate cryptocurrency businesses. This approach has not been embraced by authority, particularly since the collapse of FTX. If the SEC investigation confirms these rules, it may increase institutional confidence in cryptocurrency. As a result, this could be beneficial for BTC/USD.
What You Can Expect From The Next Fed Meeting
Positive economic data, strong employment, and falling inflation rates led us to think that the interest rate will rise slowly. Markets are expecting less of a rate hike as a result. The Federal Open Market Committee (FOMC) will meet on February 1.
Traders believe that the market will be impacted by the outcome of the FOMC meeting. The FOMC may reduce the 50 basis-level rate hikes that were seen in December upon its next meeting, only raising rates by 25 basis points in February.
The result of the meeting will have an effect on sentiment in the cryptocurrency markets, as well as the BTC/USD rate.
