U.S. SEC Rolls Out a New Crypto Regulatory Framework Proposal
Is this the start of a real bull market driven by capital?
Or is it a typical leveraged liquidation rally?
Yesterday’s rally in BTC, ETH, and SOL was absolutely not simply because of the U.S. SEC’s crypto regulatory proposal:
Last night, the U.S. SEC rolled out a new proposal for crypto regulation (Regulation Crypto Assets).
“You violated the rules, I will punish you”; and now it has shifted to, “I’m telling you the rules—follow them as the rules develop.”
The biggest factor is: extreme short positions + a market liquidity freeze point.
Liquidation profits far exceed the cost of a pump!
Favorable policy expectations + passive buying pressure from derivatives liquidations + a reversal in market sentiment
Jointly promote
Data shows that when BTC broke above around $69,000, within a short period there were short liquidations on the scale of over $1 billion. The shorts were forced to cover, becoming an important fuel for the rise.