BTC saw a significant surge in value, achieving new highs for the month at $27,55 level after the June 20th Wall Street open. This upswing occurred against the backdrop of Deutsche Bank applying for a license to custody crypto-assets, adding to the list of recent similar announcements such as exchange-traded funds (ETF) applications from BlackRock and Fidelity Investments. However, even though Bitcoin’s price performance saw its highest levels since May 31st, market participants remain cautious.
One reason for the cautious optimism is the lack of a “meaningful trend shift” for Bitcoin, despite the excitement surrounding the recent market movements. According to trader and analyst Rekt Capital, it is challenging to anticipate a daily breakout confirmation in the context of current resistance. Hence, it is crucial to observe the weekly timeframe for price movement confirmation.
While some traders, like Crypto Tony, maintain optimism for a return to the $27,500 mark, others believe that Wall Street’s participation in the crypto industry may cause a mix of positive and negative impacts, primarily on Bitcoin’s price action. Whether the introduction of new financial products and services around cryptocurrencies would ultimately benefit or hinder the industry remains uncertain.
Despite a regulatory crackdown by the Securities and Exchange Commission (SEC), the ongoing investments in digital-assets infrastructure show resolute interest in cryptocurrencies. Firms like BlackRock have taken significant steps to embrace the world of digital currencies. On June 15th, BlackRock submitted an application for the very first Bitcoin spot exchange-traded fund (ETF) in the United States. With regulatory approval, this ETF would provide investors a convenient avenue for exposure to Bitcoin.
While it is necessary to exercise caution and conduct individual research as investment and trading in cryptocurrencies involve risk, there is no denying that interests around digital assets continue to grow, evidenced by the market’s resilience and the introduction of new infrastructure around cryptocurrencies. Ultimately, the long-term impact of these developments on Bitcoin’s price action and the overall market direction remains uncertain.
Source: Cointelegraph
