The U.S. Securities and Exchange Commission (SEC) recently delayed its rulings on Bitcoin exchange-traded funds (ETFs) until October 2022; these ETFs were proposed by several major financial organizations, including Fidelity (Wise Origin), VanEck, WisdomTree, and Invesco. This decision comes as no surprise, considering the SEC’s recurring cycles of applications, delays, and rejection.
Despite this deferment, analysts highlight BlackRock’s proposal as a particularly promising application. BlackRock’s reputation for a high success rate with past ETFs coupled with its plan to use Coinbase for surveillance-sharing has caused a ripple of hope among supporters of Bitcoin ETFs. While it’s a ray of hope, many argue an approval from the SEC could just be a mirage as none of the spot Bitcoin ETFs received a green signal from the regulatory body.
Deferment is also causing volatility in Bitcoin’s price as it gained after Grayscale’s legal victory, only to give back those gains post the SEC’s decision. This fluctuation is causing analysts to propose investors diversify their portfolios with overlooked altcoins, with a potent uptrend in the offing. Amongst many tokens recommended, Maker (MKR) has been one of the standout performers.
Recent technical indicators suggest MKR is in a bullish trend. With an increase in market cap and trading volume, coupled with increased interest from investors, it is definitely one to keep an eye on.
However, keep in mind that Bitcoin ETF proposals teetering in regulatory limbo does not mean that the crypto-wave is calming. Many other crypto tokens such as the Wall Street Memes (WSM), Mantle (MNT), and Launchpad XYZ present potential scope for diversification and growth. Tokens like these are creating a mark in the crypto space, making it worthwhile for the investors to watch closely and make calculated decisions. WSM, for instance, benefited from the patronage of the WallStreetBets Reddit community and has over 1 million followers.
Nevertheless, the role of caution cannot be ignored as Mantle (MNT) has seen a mixed bag of bullish and bearish indicators, due to the delicate balance of buying and selling pressures in the market.
As investors await the SEC to make up its mind, they need to keep monitoring the evolving market conditions and align their trading strategies accordingly. While diversification could be an effective method to keep the wallets green, a potential breach of support levels could change the game. As is the nature of the cryptocurrency market, a planned approach with careful monitoring and action should keep investments steady.
Source: Cryptonews
