In a swift turn of events, Bitcoin’s meteoric ascent to a two-week peak above $28,000, fuelled by the American digital currency asset management company Grayscale’s courtroom triumph against the Securities and Exchange Commission (SEC), fizzled out as the cryptocurrency shed a staggering $1,000. The fervor that gripped the market earlier this week subsided, and Bitcoin lost traction, settling at a current price of $27,000.
Grayscale CEO Michael Sonnenshein announced a significant legal victory for Grayscale regarding the D.C. Circuit’s ruling against the SEC’s rejection of Grayscale’s Bitcoin ETF application:
🚨 JUST IN 🚨
— Sonnenshein (@Sonnenshein) August 29, 2023
The D.C. Circuit ruled in favor of @Grayscale in our lawsuit challenging the SEC's decision to deny $GBTC's conversion to an ETF!
Thank you to everyone who has been on this journey with us, especially our investors. We are grateful for your support and…
The landmark court ruling that mandated the SEC to reverse its decision rejecting Grayscale’s bid to transform its flagship fund, GBTC, into a Bitcoin ETF ignited Bitcoin’s price with a bullish surge. While the outcome doesn’t guarantee the green light for the proposed product, Bitcoin responded with an immediate price rally. Within mere hours, the cryptocurrency skyrocketed by over $2,000, hitting the aforementioned peak and triggering a cascade of $80 million in shorts liquidation.
However, the euphoria proved short-lived. Bitcoin failed to consolidate its upward momentum, relinquishing around $1,000 of its gains. Presently, its market capitalization stands at $530 billion, commanding a dominance rate of 48.9% according to CoinMarketCap data.
Altcoins mirrored Bitcoin’s ascent and subsequent descent, registering notable daily surges. In the wake of the recent pullback, most have turned bearish today, albeit with marginal losses. Ether (ETH) slipped by 0.8%, managing to keep its head above $1,704. Binance Coin (BNB) faced a 0.66% dip, teetering just below the $223 mark. Solana (SOL) took the heaviest hit, plunging by 4%. Nonetheless, SOL’s value still stands strong above the $20 threshold.
The current price of Bitcoin (BTC) is $26,061.55 USD, reflecting a 4.14% decrease over the last 24 hours. The market cap of Bitcoin stands at $524.13 billion, accounting for approximately 1.07% of the total cryptocurrency market. The 24-hour trading volume for Bitcoin is $14.09 billion, making it the second most traded cryptocurrency by volume. The circulating supply of Bitcoin is 19.47 million BTC, representing around 92.73% of the total supply of 19.47 million BTC. The maximum supply of Bitcoin is capped at 21 million BTC. The fully diluted market cap, which considers the value of the total supply at the current price, is $565.21 billion.
The Relative Strength Index (RSI) with a period of 14 and based on the close price, has a value of 37.18, indicating a moderate bearish momentum. The 14-day Simple Moving Average (SMA) of the RSI is at 33.70, showing a recent decline in the RSI values. This suggests that the market sentiment might be shifting towards bearish.
In the broader context, looking at the price performance over various timeframes, BTCUSD has experienced a decline of 1.09% over the past week, a more substantial decline of 24.85% over the past month, and a notable increase of 38.84% over the past three months. The longer-term trends indicate a significant upward movement, with gains of 54.72% over the past six months and an impressive 61.21% year-to-date.
This evolving landscape showcases the inherent volatility of the cryptocurrency market, where sentiment could shift rapidly, turning bullish exuberance into cautious retraction within a matter of days. As the market digests the implications of the Grayscale-SEC saga, all eyes remain glued to the charts, awaiting the next move in this thrilling financial saga.
