Bitcoin is unlikely to break the $20,000 threshold anytime soon and is expected to end the month at $19,000 mark. The popular cryptocurrency was recently trading at $19,382, after having lost 0.22% of its value in the last 24 hours.
Edward Moya, a senior market analyst at Oanda, believes Bitcoin’s correlation with tech stocks remains and it isn’t breaking as bad as it has during most of this cycle. He noted the tech heavy Nasdaq’s steep decline on Thursday and BTC’s ability to tread near or above the $19,000 support. Moya said the Wall Street sees crypto close to the bottom and will become an attractive diversification strategy after the peak in Treasury yields is in place.
Rostin Behnam, the chairman of Commodity Futures Trading Commission (CFTC), said Bitcoin price could soar in a regulated market where institutional investors feel comfortable wading through the industry. It fuelled a strong growth in trade volume when the popular cryptocurrency’s price nosedived below the $20,000 mark. He said the CFTC’s current funding model and resources prevented it from pursuing large-scale crypto regulation. Behnam believes it could help weed out unscrupulous actors through the CFTC’s investigations. The executive highlighted that majority of cases pursued by the agency have relied on customer complaints, whistleblowers and tips.
Greg Johnson, the co-founder and CEO of Rubicon Crypto, reckons crypto would continue trading at its current levels until regulatory agencies can set clear guidelines. He said the crypto industry is in a purgatory that isn’t going to go away for some time. Johnson believes nothing meaningful is going to change in the crypto markets until there is regulatory clarity. This will bring about the next wave of meaningful adoption.
Meanwhile, Ether, the second most-favored cryptocurrency is down by 1.21% in the last 24 hours. It’s trading at $1,324. The altcoins are showing a mixed reaction. Ripple’s XRP is the biggest winner. It’s up by 8.75% in the last 24 hours. Polygon MATIC gained 3.45% and TRON is up by 1.44%.