Bitcoin (BTC), which experienced an increase after Grayscale won the lawsuit against the SEC, dropped as the SEC postponed its ETF applications. This movement of BTC within a few days also affected altcoins.
Grayscale chose to file a lawsuit against the SEC for its ETF product, Grayscale Bitcoin Trust (GBTC). The SEC did not approve Grayscale’s conversion of GBTC into a spot Bitcoin ETF. Therefore, the company that filed the lawsuit won the case after two years. The court asked the SEC to reconsider the request regarding GBTC specifically. The cryptocurrency market soared like a bull market due to this news. BTC experienced an increase of up to 8% due to the impact of the news flow. However, this atmosphere did not last long. After 2 days, the SEC postponed the evaluation of seven spot Bitcoin ETF applications.
The leading cryptocurrency Bitcoin is showing movements between a range of 8.5% due to the impact of ETF news. The lack of liquidity in the cryptocurrency market, the delisting of many altcoins by exchanges to narrow the pairs and thus try to recover liquidity, the absence of new capital inflows from investors, and finally the global markets have affected the process so far. However, Grayscale’s victory in the SEC lawsuit boosted the market momentarily.
During the Grayscale period, a bullish view prevailed, and BTC’s rise from $25,980 to $28,150 dominated the day. Along with BTC, liveliness emerged in altcoins as well. However, this situation mainly focused on low market cap altcoins rather than major altcoins. TRB, UNFI, and CYBER managed to dominate the market. There was no significant increase in projects such as Arbitrum, Optimism, and Aptos other than recovery. This bullish trend in the market came to an end as a result of the steps taken by the SEC last night. The SEC decided to postpone the seven ETFs and managed to erase the market’s rise all at once.
The US regulatory agency does not intend to leave the cryptocurrency market at ease. While BTC was moving around $27,500 with the SEC’s postponement decision, it declined to $25,680. During this volatile period of BTC, the most significant support level is said to be $25,650. If this point is lost, $25,376 may emerge for BTC. The most critical support level for BTC could be the $25,100 level.
If BTC cannot hold onto all these supports, it could drop to $24,750. In a positive market outlook, BTC could aim to exceed $26,800. With the breakthrough of this resistance level, the next journey for BTC could be around $28,300. However, BTC will face its most important test at the $29,960 level. This strong resistance holds a significant position in BTC’s progress.