Bitcoin (BTC/USD) Rallies on Positive ETF Commentary from SEC Chair Gensler
- Bitcoin is back above $43k and looking to move higher.
- SEC chair Gary Gensler’s ETF commentary provides momentum.
The cryptocurrency market turned higher late in yesterday’s US session after positive commentary from SEC chair Gary Gensler on potential Bitcoin ETFs. Chair Gensler said that a Bitcoin ETF, based on Chicago Mercantile Exchange traded Bitcoin futures, would have ‘significant investor protection’ due to the Investments Company Act of 1940. The SEC is currently looking at over 20 ETF filings for Bitcoin and Ethereum futures products, according to reports, with Gensler saying that he ‘looked forward to staff’s review of such filings’. Gensler’s remarks came at the FT’s @Future of Asset Management North America’ conference yesterday.
This is the second time that Gensler has made positive commentary on Bitcoin ETFs and it suggests that despite the ongoing regulatory clampdown on the cash market, the regulated futures market may well be the avenue for a Bitcoin or Ethereum ETF.
Bitcoin has defended the $40k level over the last week and has broken pennant resistance today. For Bitcoin to move higher, this move needs to be consolidated before all three moving averages between $44.5k and $46.6k come into play. Initial support comes from the 38.2% Fibonacci retracement level at $42.6k before $40.7k comes into view.
Bitcoin (BTC/USD) Daily Price Chart September 30, 2021
The alt-coin market is starting to follow Bitcoin’s move higher, erasing some of the recent hefty losses seen in the space. Recent market favorites including Cardano (ADA), Solana (SOL) and Terra (LUNA) are still around 30% off their recent highs and need to reclaim these before positive sentiment returns.
Prices via @Coinmarketcap.com
What is your view on Bitcoin and alt-coins – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author via Twitter @nickcawley1.