Bitcoin (BTC) and ETH make gains on hopes of a crypto-spot ETF market.
Coinbase (COIN) continued to grab the headlines, with its share price hitting a new 2023 high for the third consecutive session.
SEC activity and ongoing cases with Binance, Coinbase, Kraken, and Ripple remain headwinds.
SEC Delays the Review of Franklin and Hashdex ETF Applications
On Tuesday, news hit the wires of the SEC delaying the BTC-spot ETF application reviews for Franklin and Hashdex.
Bloomberg Intelligence ETF Analyst James Seyffart shared the news, saying,
“Going super early on Franklin today (and potentially Hashdex coming too?) would set things up for a full wave of approvals in early January. Might be the reasoning?”
Shortly after, Seyffart confirmed the SEC delay to the Hashdex Bitcoin ETF strategy.
The second review deadline for the Franklin and Hashdex application is January 1, 2024. The early decision to postpone could mean the SEC plans to batch-approve 10 BTC-spot ETFs by January 10, 2024.
While there are no guarantees, the markets speculate the SEC wants to batch-approve applications to avoid facing accusations of playing kingmaker. The table below shows the first, second, third, and final deadlines.
BTC Spot ETF Deadlines
Coinbase Extends Winning Streak to Four
On Tuesday, Coinbase (COIN) surged 7.10%. Following a 3.66% gain on Monday, Coinbase ended the session at $128.17. Significantly, Coinbase extended its winning streak to four sessions and hit a new 2023 high of $129.26. Coinbase is up 66.3% in November vs. an 11.1% gain for the Nasdaq Composite Index.
Market bets on Coinbase attracting departing Binance customers have fueled the move toward $150.
On Tuesday, amicus curiae attorney John E. Deaton responded to a post on X (formerly Twitter), saying,
“I think it’s a screaming buy under $150.”
Deaton reacted to a post from The Wolf Of All Streets, which said,
“Chart says Coinbase is eventually headed to ~$200. There’s almost zero meaningful resistance now that it has broken out of accumulation.”
Last week, Binance and CZ settled with the CFTC and the US Department of Justice. However, news of the SEC pursuing fraud charges against Binance US, Binance, and CZ added to the negative sentiment toward Binance.
In June, the SEC charged Binance and Coinbase within days of each other. While Binance may face an uphill battle after settling with the DoJ and the CFTC, the markets predict a more favorable outcome to the SEC v Coinbase case.
Coinbase filed a Motion to Dismiss (MTD) in August, arguing the SEC lacks the statutory authority to regulate crypto exchanges. If Judge Katherine Faila grants the Coinbase MTD, the SEC could lose its grip on the US crypto space. For Coinbase investors, a return to $200 would not be a far-fetched projection.
COIN 291123 Daily Chart
BTC sat above the 50-day and 200-day EMAs, sending bullish price signals.
A BTC move to the November high of $38,437 would bring the $39,000 resistance into play.
BTC-spot ETF-related news updates, regulatory activity, and US lawmaker chatter remain the focal points.
A break below the $37,600 support level would bring the $36,400 support level into play.
The 14-Daily RSI reading of 62.19 indicates a BTC move to the $39,000 resistance level before entering overbought territory.
BTCUSD 291123 Daily Chart
ETH held above the 50-day and 200-day EMAs, affirming bullish price signals.
An ETH move to $2,100 would bring the $2,143 resistance level into play.
However, a fall through the $2,021 support level would give the bears a run at the $1,926 support level.
The 14-period Daily RSI at 58.38 indicates an ETH return to the $2,143 resistance level before entering overbought territory.
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.