Bitcoin
is trading near key levels around $65,000 By Investing.com
Investing.com – The price fell slightly on Wednesday, continuing recent weakness amid concerns about the health of the global economy.
At 05:30 ET (09:30 GMT), Bitcoin was trading 0.5% lower at $65,217.0, posting losses of around 4% over the last week of trading, having fallen below $65,000 on Tuesday on Friday for the first time since May 16th.
Bitcoin Trades Near Key Levels
The possibility of higher borrowing costs in the US has dampened enthusiasm for the cryptocurrency market, with bitcoin being the world’s largest cryptocurrency.
A number of Federal Reserve officials have made it clear that they need to see more progress in taming inflation, even after last week’s weaker-than-expected US data resulted in the US central bank forecasting just one cut. in interest rates this year, compared to the previous forecast of three cuts.
At the same time, recent data, including Tuesday’s release in the US, has suggested that consumers are feeling the impact of high interest rates.
Activity will likely be limited on Wednesday as the U.S. celebrates the June holiday, but bitcoin may be trading near key levels that could determine the near-term trajectory of the largest crypto asset.
Bitcoin now has recovery potential towards $67,000, according to analytics platform Glassnode.
However, this level could create resistance, and surpassing it could put the digital currency on track toward an even higher target of $69,500. On the other hand, the $65,000 mark is being seen as a crucial psychological support level, which could play a key role in maintaining investor confidence.
Bitcoin reached a record high of $73,797.68 on March 14 and last tested that level in early June.
Crypto Price Today: Ether Gains on SEC News
There was more positive news looking at the broader cryptocurrency market, helped by positive legal news.
rose 2.4% to $3,547.25 after software company Consensys said the US Securities and Exchange Commission is ending its investigation into whether Ether is a security.
“The SEC Division of Enforcement has notified us that it is closing its investigation into 2.0,” said Ethereum developer Consensys in a June 19 X post.
“This means the SEC will not file charges alleging that ETH sales are securities transactions,” which the company hailed as a “huge victory for Ethereum developers, technology providers and industry participants.”
Elsewhere, and both gained about 1.5%, they remained roughly flat while falling more than 3%.
Financial Advisors Slow to Adopt Bitcoin ETFs
The long-awaited bitcoin exchange-traded funds launched in January, and financial advisors are slow to adopt them, according to BlackRock’s Samara Cohen.
For now, about 80% of bitcoin ETF purchases likely came from “self-directed investors who made their own allocations, often through an online brokerage account,” she said, at a summit last week.
Cohen, director of ETF and index investments at BlackRock, noted that hedge funds and broker-dealers have also been buyers, based on last quarter’s 13-F filings, but registered investment advisors have been a bit more “cautious.” ”.
However, if increased demand drives bitcoin to a new all-time high, $9.26 billion in short positions could be liquidated, according to Eljaboom, a Bitcoin investor and Forbes 30 Under 30 recipient, which would trigger a dramatic increase in prices.