BTC Surges to $30,000 on Hopes of Spot ETF Approval

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FXEmpire.com – Key Insights:

• The Chamber of Digital Commerce filed an Amicus Curiae brief supporting Binance in the SEC v Binance case.
• On Friday, optimism toward the SEC approving BTC-spot ETF applications fueled buyer appetite for BTC and the broader market.
• Fear of increased US Administration scrutiny of the crypto market has become a headwind.

Chamber of Digital Commerce Delivers Binance Support

On Thursday, the Chamber of Digital Commerce filed an Amicus Curiae brief in support of Binance in the SEC v Binance case. The Chamber argued that tokens generally available for trading on exchanges are not a “contract, transaction or scheme” that is the embodiment of a security. They went on to explain that the SEC is essentially suing a grocery store selling oranges or an online e-commerce marketplace, like Amazon.

The filing comes at a challenging time for Binance, as Israeli authorities had recently ordered the platform to freeze over 100 Hamas-linked crypto accounts. This development has heightened anti-crypto sentiment on Capitol Hill, with Senator Elizabeth Warren co-signing a bipartisan letter calling for the US Administration to address crypto-financed terrorism. Coinbase Chief Legal Officer Paul Grewal shared his views on the situation, saying that “no currency – whether fiat, gold, or crypto – should ever be used to support terrorism.”

BTC-Spot ETF Optimism Delivered a Broad-Based Crypto Rally

On Friday, optimism toward the SEC approving BTC-spot ETFs drove demand for BTC and the broader market. The SEC’s decision not to appeal the Grayscale win in appellate courts has fueled speculation of SEC approvals, while recent refilings by Fidelity and Grayscale have also boosted market optimism.

Technical Analysis

Bitcoin Analysis

BTC sat above the 50-day and 200-day EMAs, affirming bullish price signals. A BTC break above the $30,107 resistance level would support a move toward the $31,143 resistance level. Market sentiment toward the SEC and the approval of the BTC-spot ETF applications remains the key driver. However, increased scrutiny from the US Administration may test the buyer appetite for cryptos. A drop below the $29,193 support level would bring sub-$29,000 levels into play. The 14-Daily RSI reading of 69.79 shows BTC on the border of overbought territory.

Ethereum Analysis

ETH remained below the 50-day and 200-day EMAs, affirming bearish price signals. On Friday, the 50-day EMA and the $1,626 resistance level rejected an ETH breakout to $1,700. If ETH falls below $1,600, it could potentially test the $1,502 support level. Market angst over a possible US Administration response to the bipartisan letter would test buyer appetite. However, hopes of progress toward a crypto-spot ETF market will likely continue to support buyer demand. An ETH break above the 50-day EMA and the $1,626 resistance level would bring the 200-day EMA into play. The 14-Daily RSI reading of 50.40 indicates an ETH break above the 50-day EMA and $1,626 resistance level before entering overbought territory.

This article was originally posted on FX Empire. More From FXEMPIRE: The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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