Hours later, the US stock markets will list the spot ETH ETF, and investors need to be prepared for both scenarios. Increased volatility seems certain because the altcoin king’s ETF also means that altcoins’ legitimacy is recognized by the US to some extent. After BTC was accepted as legitimate, its price eventually broke its all-time record.
Cryptocurrency Commentary
BTC has two options: either stay above $65,000 or move towards $60,000. If the key area is maintained, we should see new peaks above $70,000. Demand in the ETF channel is lively, and investors expect a performance similar to what we saw in the first quarter as the last quarter approaches. This could also trigger the long-awaited rallies in altcoins that have been suppressed for a long time.
On July 21, BTC price bounced from the $66,000 level and faced sellers at the $68,500 threshold on Monday. Those who cashed out short-term gains succeeded, and the price fell. A break below the $66,000 level could lead to a drop to the support at the SMA50 point of $63,799.
A bounce from the support will target $72,000 and $73,777 again. However, closures below the SMA50 will bring the risk of a drop to the support at $61,126. For now, it is hoped that the ETF event will support the rise.
Ethereum (ETH)
Today is the day for Ethereum (ETH), and even the week is so. The long-awaited first altcoin ETF officially starts trading in the US. This represents the defeat of Gensler, who has claimed for years that Ether is a security. Moreover, it sets a precedent for similar altcoins like SOL, and ETF applications should not be ignored.
On July 19, the price rose above the SMA50 level of $3,425 and is maintaining it for now. However, momentum has not increased, which is not a good sign. If the weakening continues, we could see a drop to $3,246 with closures below the SMA50. Then, the possibility of $3,000 will be on the table.
For the opposite scenario, with the support of the ETF news, the price needs to close above $3,600 without worrying about potential ETHE sales. This will target the key resistance before the ATH at $4,094.
