Bitcoin is still volatile on Tuesday, June 28, with the BTC/USD price hovering around $21,000. As a result, the cryptocurrency remains within its current range.
On Monday, US Securities and Exchange Commission (SEC) Chairman Gary Gensler made headlines. In an interview with CNBC’s Jim Cramer, he stated that many cryptocurrencies in circulation have major qualities that indicate they are a security.
This would imply that the SEC in the United States has authority over the cryptocurrencies included by this definition. The authority is already investigating whether digital currencies supplied by certain businesses are subject to securities regulations. The most well-known case is that of Ripple, which has been in court for more than two years.
Bitcoin investors, on the other hand, may exhale a sigh of relief, since Gensler stated that bitcoin is the only cryptocurrency he can openly refer to as a commodity:
“There are a handful that are similar to bitcoin, but that is the only one I’ll mention. I’m not referring to the other tokens, despite the fact that my predecessors said they were commodities.”
According to Blockchain Investment Group CEO Eric Weiss, Gensler is the second SEC chairman to approve bitcoin as a commodity. As a result, it should be nearly hard to contest this status in the future.
Technical benchmarks for Bitcoin
Yesterday, bitcoin failed to close above the 23.6 percent Fibo retracement level of $21,110.
As a result, the previous daily closure below this critical level was confirmed, and losses could now be predicted approaching the psychological level of $20,000.
If the psychological support is sustained, the emphasis will transfer to the current cycle bottom of $17,630.
Only a rebound above the 23.6 percent Fibo retracement would boost the chances of a rally towards the 38.2 percent Fibo retracement of $23,263.