Bitcoin continued its ascent on Monday, building upon its impressive momentum from the preceding week when it reached a peak of $68,203. Despite undergoing a period of consolidation within a channel since mid-March, the main trend remains particularly bullish.

On Monday, popular cryptocurrency analytics platform Santiment underscored Bitcoin’s resilience. They observed that this activity could be considered a positive sign while smaller traders have been shedding their holdings amidst the recent price surge.

“Bitcoin is maintaining levels just above $66,100 as smaller traders persist in liquidating their holdings despite the crypto rebound over the past week. Historically, the transfer of coins from smaller to larger wallets signifies an encouraging and bullish trend for $BTC ,” Santiment tweeted.

Adding to this optimistic sentiment is Axel Adler, a crypto analyst at Cryptoquant, who observed that entities possessing over 1,000 Bitcoins have been accumulating and refraining from selling, anticipating an upswing in value.

“The current 30-day average is 641 BTC. Whales are unwilling to sell their coins as they anticipate a rise in value,” the analyst added.

Andler further noted that investors holding Bitcoin for 1-3 months have exited unrealized losses. He also noted that the MVRV for this timeframe has turned positive at $66,500. Looking ahead, he emphasized that $70,000 remains a crucial resistance level to watch.

Elsewhere, analyst Sonny Mulder also expressed optimism about the continuation of the uptrend. “Seems like it’s gearing up for another upward move soon,” Mulder tweeted. “The retracement to $50k appears less likely now, given that the last low was invalidated by a higher high… We must adjust our course and recognize the low at $56K as the more probable bottom unless we dip below our Wyckoff accumulation structure at approximately $61K.”

Another analyst, “DrProfitCrypto,” also pointed out that he anticipates that a breach above $70,000 will incite the initial wave of FOMO (fear of missing out) among investors, followed by another surge at $74,000. With ongoing institutional inflows and robust technical indicators, DrProfitCrypto set Bitcoin’s next target within the $82,000-$88,000 range.

Bitcoin traded at $68,288 at press time, reflecting a 2.25% increase over the past 24 hours. Notably, popular crypto analyst Ali Martinez noted the significance of over 530,000 $BTC transacted at $66,250, marking a crucial support level. According to him, Bitcoin has strong potential for further gains if it holds.

Numerous memecoins have emerged in the wild, uncharted territory of cryptos, yet few have managed to seize the public’s imagination and evoke such fervor as Shiba Inu. Its staggering 2021 rally turned small investments into life-changing fortunes, fueling dreams of overnight millionaires.

SHIB has had a wild ride, especially during the meme coin craze of late 2020, when its value soared. The idea of SHIB reaching $0.001 has been circulating for some time, contributing to the ongoing speculation around the coin. Despite some analysts’ doubts, the $0.001 target resurfaces in discussions about Shiba Inu’s potential.

Now, as Shiba Inu claws its way back from a steep post-2021 crash, investors are wondering: can it reach $0.001 and ignite another frenzy of wealth creation?

Shiba Inu’s Astronomical Rise and Recent Performance

Rewinding to 2021, Shiba Inu was the talk of the town, boasting an eye-popping gain of over 45,000,000%. For those who had the foresight to invest just $3, they were looking at a cool million in returns. However, the euphoria was short-lived as Shiba Inu plummeted by 92%, mirroring the broader crypto market turmoil triggered by the 2022 FTX contagion.

Fast-forward to 2024. There’s a resurgence of investor confidence in the cryptocurrency market, and Shiba Inu is capitalizing on this trend. Its value has already surged by 120% in 2024, outperforming Bitcoin, which has seen a 50% increase. This raises the question: Could Shiba Inu replicate its historic rally and reach $0.001 from its current price of $0.0000248?

Shiba Inu’s journey to mainstream adoption is still fraught with challenges, even as its price stages a comeback. The token’s utility in the real world remains limited, with just 933 merchants accepting it, as per data—a stark contrast to more established cryptocurrencies. Despite initiatives like Shibarium, which aims to lower transaction costs through a Layer-2 blockchain solution, Shiba Inu has struggled to gain widespread acceptance.

The community has also tried to enhance Shiba Inu’s appeal through projects like Shiba Eternity, a digital card game created in 2022 to expand the token ecosystem. However, these efforts have not translated into widespread adoption, raising questions about Shiba Inu’s long-term sustainability.

Speculation vs. Utility

Shiba Inu’s meteoric rise in 2021 was largely fueled by speculation, with investors banking on its price continuing to soar. However, the token’s subsequent crash served as a stark reminder of the risks associated with speculative investments. To maintain its value and create more, Shiba Inu needs widespread adoption and utility, aspects it currently lacks.

While Shiba Inu’s community is actively working to address these issues, the token’s path to $0.001 remains uncertain. The token’s market capitalization and supply would need to change significantly to support such a price, making it a challenging goal to achieve.

Analyzing potential drivers, such as integrating SHIB into gaming and the metaverse and sustained retail interest, provides a glimpse into what might boost SHIB’s value. Yet, it’s essential to stay realistic and avoid overly optimistic projections, especially regarding SHIB reaching $0.001.

Like many other altcoins, SHIB’s price tends to follow Bitcoin’s movements. While a bullish crypto market could lift SHIB, the volatile nature of cryptocurrencies highlights the need for prudent risk management strategies.

Market enthusiasts and investors closely monitor the predictions of influential figures. One such prominent voice is Mike Novogratz, CEO of Galaxy Digital, who recently shared his insights on Bitcoin’s future trajectory. In a candid interview on Galaxy Digital’s podcast, Novogratz sends a cautious yet insightful warning: Bitcoin (BTC) probably won’t reach new all-time highs without significant macroeconomic shifts.

The Prediction in Detail

Novogratz forecasted that Bitcoin’s price will likely remain within a trading range of $55,000 to $75,000 in the near term. He pointed out that substantial changes in the macroeconomic environment are essential for Bitcoin to break past its previous high of $73,000. Specifically, he mentioned Federal Reserve rate cuts as a critical catalyst that could drive Bitcoin higher.

“I think we’re in a bit of a range – $55,000 to $75,000. It’s probably closer to $57,000 than $73,000. We’ve probably put the low and the high in. I do believe the next move is up because I do think we’re going to get closer to the election, and [Federal Reserve Chairman Jerome] Powell is going to want to cut rates,” Novogratz stated.

The Impact of Economic Conditions

Novogratz discussed how a slowing economy might benefit Bitcoin. However, he stressed that for Bitcoin to make significant gains, either the Federal Reserve needs to act by cutting interest rates or there must be a major development in crypto regulations. Both scenarios probably won’t happen soon, and Bitcoin may continue to trade sideways.

“There’s a resurgence of the ‘Oh my God, the economy’s slowing down’ narrative, which will be helpful. I don’t think Bitcoin will take out the old high, the $73,000 high, unless we get the Fed in action, or we get some big regulatory breakthrough. Those are both probably low delta,” he explained.

Bitcoin as Digital Gold

One of the critical factors Novogratz pointed out is the influence of US federal government spending and the increasing national debt. He believes these economic conditions will drive more investors towards Bitcoin, viewing it as a digital equivalent of gold. According to Novogratz, Bitcoin benefits from the same forces that drive gold’s value up but at a faster rate due to its newer technology and adoption cycle.

“Right now, I talk about two things: crypto regulation and the debt. And they’re at odds with each other. If we had an administration, Biden or Trump, that addressed this 26% of GDP federal budget, which should be 20%, it would not be good for Bitcoin,” Novogratz noted. “And so having really crappy policymakers and profligate spenders and populists in Washington, great for my net worth. That’s just the story of Bitcoin. Bitcoin is going up for the same reason gold is going up. It’s gone up faster because we’re a newer technology, we are a newer commodity, and therefore the adoption cycle is happening faster.”

Mike Novogratz’s insights provide a nuanced perspective on Bitcoin’s potential price movements. While the biggest cryptocurrency may benefit from macroeconomic instability and increasing government debt, significant gains to new all-time highs will likely require more substantial changes, such as Federal Reserve rate cuts or major regulatory advancements.

Solana (SOL) has been a standout performer in the crypto market, riding a wave of bullish momentum and capturing the attention of investors and traders alike. With its price increasing over 30% in the last 30 days, many wonder if this trend will continue. ChatGPT-4o, the latest AI model from OpenAI, has some insights to shed light on Solana’s future. Here’s what the AI had to say about Solana’s prospects through 2024.

Solana’s Strong Performance

Solana’s recent performance has been nothing short of impressive. The token’s bullish trend is driven by its robust (DeFi) ecosystem and various activities on its network.

Currently trading at $169, SOL has posted daily gains of over 3% and a weekly increase exceeding 20%. This upward trajectory has many investors optimistic about its potential to reclaim and surpass the $200 mark.

ChatGPT-4o Projections – Optimism with a Sprinkle of Caution

ChatGPT-4o provided a detailed analysis of Solana’s future price movements. The AI model identified several crucial factors that could impact SOL’s price by 2024 end. These include its popularity among meme coin traders, high throughput, low transaction costs, and the broader market sentiment and regulatory environment.

Based on these factors, ChatGPT-4o presented three possible scenarios for Solana’s price:

1. Moderate Growth Scenario – If Solana maintains its current momentum, the AI predicts a price range of $200 to $250. This scenario reflects a moderate increase from the current levels, assuming no major disruptions.

2. Best-Case Scenario – In an optimal market environment with significant adoption and no pullbacks, SOL’s price could go over $300. This would require highly favorable conditions, including positive regulatory developments and technological advancements.

3. Bearish Scenario – If the market flips bearish or Solana struggles with challenges, its price could drop below $145. This scenario considers the potential risks and volatile nature of the crypto market.

Strength During Challenges and Market Sentiment

Solana has shown remarkable solidity despite numerous challenges, including network outages. The launch of numerous meme coins on its network has increased the token’s value. In less than a month, the Solana blockchain has minted 643,227 new tokens, 466,914 of which were meme coins.

The positive market sentiment surrounding Solana is noticeable. Daniel Choung, co-founder of Syncracy Capital, a digital asset hedge fund, recently highlighted Solana’s strong performance on social media, suggesting that the token could reclaim the $200 level and eventually hit a new all-time high.

Will Solana Live Up to the Hype?

The question remains: can Solana live up to ChatGPT-4o’s optimistic expectations? The crypto market is extremely volatile, and while the AI’s projections are grounded in current data and trends, the future is always uncertain.

Solana stands at a critical juncture. A strong foundation and supportive market sentiment suggest the potential for significant gains. However, investors should remain vigilant and consider the inherent risks.

Ripple’s recent announcement of its ambitious expansion plans into the African market has significantly boosted the trajectory of its cryptocurrency, XRP. The crypto asset has responded favorably, currently trading at around $0.52. This development has fueled speculation within the crypto community about whether XRP can muster enough momentum to push past its next resistance level of $0.55 and potentially reach the coveted $1 mark.

As Ripple aims to tap into the vast potential of the African continent, leveraging its blockchain technology for cross-border payments and banking solutions, the crypto world watches with keen interest to see if this strategic move will propel XRP to new heights, solidifying its position as a major player in the digital asset arena.

Ripple, a major leader in cross-border payment solutions, is set to introduce its XRP Ledger (XRPL) and a suite of crypto-native services, including custody solutions, to the African continent.

Reece Merrick, Managing Director Middle East, Africa for @Ripple, says they are best known for payments but stepping into " crypto native services" (custody) and supporting the #XRPL program in the region. https://t.co/MzySaYOw5A "Looking to expand quite heavily here" pic.twitter.com/RfVE7xUjpH

— Crypto Eri Carpe Diem (@sentosumosaba) May 17, 2024

This strategic move is in partnership with MFS Africa, a leading payments firm operating in 35 African countries. Ripple’s On-Demand Liquidity (ODL) product, which leverages XRP to facilitate swift and cost-effective cross-border transactions, will be at the forefront of this expansion.

This collaboration aims to streamline and enhance the efficiency of the region’s remittances and other payment processes, tapping into a vast market with significant growth potential. Reece Merrick, Ripple’s Managing Director for the Middle East and Africa, emphasized the company’s commitment to establishing a robust presence in emerging markets through innovative crypto services.

Market Reaction and XRP Price Surge

The announcement had an immediate impact on XRP’s market performance. The cryptocurrency increased from $0.48 to $0.52, reflecting a 1.4% rise. This surge underscores the market’s positive reception to Ripple’s strategic expansion plans and its potential to drive further adoption of XRP across the African market.

XRP’s market capitalization currently stands at $28.7 billion, and its 48-hour trading volume has reached $1.1 billion, indicating strong investor interest and trading activity. Technical indicators suggest XRP could see further gains, with the next resistance level at $0.55. If bullish momentum continues, the digital asset might target the $1 mark, a significant psychological and technical milestone.

Ripple’s foray into Africa is part of a broader vision to leverage blockchain technology for various financial services beyond cross-border payments. The introduction of custody services and other crypto-native solutions reflects Ripple’s strategy to diversify its offerings and provide comprehensive financial tools to businesses and consumers in the region.

This expansion comes amidst Ripple’s ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). The SEC has accused Ripple of selling XRP as an unregistered security and is seeking approximately $2 billion in fines. Ripple, however, disputes this figure, arguing that the appropriate penalty should be around $10 million. Despite these legal challenges, Ripple continues to pursue its growth agenda.

XRP Technical Analysis and Prediction

XRP has struggled to gain momentum, consistently hitting a wall at the $0.55 resistance level. This stagnation is evident across various timeframes, with the cryptocurrency experiencing declines over the past month, week, and even the last 24 hours. Currently, XRP is trading at $0.52, a slight uptick from its position a week ago.

Despite the sluggish market, analysts offer a more hopeful outlook. They forecast a notable rise for XRP, suggesting that the coin could reach $0.65 by mid-week. This would mark an impressive gain of over 25%.

From a technical analysis perspective, breaking past the $0.55 resistance is crucial for XRP to enter a bullish phase. If the analysts’ optimistic forecast materializes, it could reinvigorate investor confidence and drive further price increases. Conversely, failure to break this barrier might lead to a period of consolidation, with prices potentially stabilizing around $0.50.

The primary challenge with XRP is that its value is largely driven by its underlying fundamentals rather than market hype. As a result, big returns might take longer to materialize.

Former U.S. President Donald Trump has expressed a positive outlook toward cryptocurrencies, marking a potential shift in his stance on digital assets.

Notably, Trump’s affirmation came in response to inquiries about his position on crypto during a recent public appearance. In a statement, he declared, “I’m good with it,” signaling a willingness to embrace the burgeoning industry.

Further, in response to inquiries about crypto during his appearance, Trump acknowledged the exodus of crypto businesses from the US due to regulatory hostility. He emphasized the importance of addressing these challenges, stating, “If we’re going to embrace it, we have to let them be here.“

The presidential candidate also criticized the Biden administration for erecting high barriers to the crypto industry through stringent regulations enforced under the watch of SEC’s Gary Gensler.

“Biden doesn’t even know what (crypto) is…The democrats are very much against it and I say this…a lot of people are very much for it and I’m fine with it, I want to make sure it’s good and solid,” added Trump.

That said, Trump’s affirmation has stirred discussions within the cryptocurrency community. Trump’s stance could have significant implications for the future of digital assets in the United States should he clinch the presidency in the upcoming elections.

In a Thursday tweet, Messari Ryan Selkis, CEO of crypto analytics firm, praised Trump for his stance on crypto-generated attention.

However, not everyone is convinced about Trump’s stance. Some see it as a political gimmick to garner support from younger generations, who are the biggest players in the sector.

“The devil is in the detail. He hated #Bitcoin last time he was in power. Now he wants the “crypto” vote? Will US policy towards BTC get worse or better under Trump?” wrote Simon Dixon, founder of crypto investment firm Bank of the Future.

Notably, this is not the first time Trump has shown his support for crypto despite his apparent hostility to the sector in the past. In addition to launching several highly profitable NFT projects in the past, in early March, Donald Trump presented a more neutral viewpoint on crypto, particularly during an interview with CNBC.

“I have seen there has been a lot of use of that, and I’m not sure that I’d want to take it away at this point … I can live with it one way or the other,” Trump stated when asked about his stand on Bitcoin.

Notably, this is reversed from his comments in 2021, where he had said that crypto is a “disaster waiting to happen.”

Popular crypto analyst Willy Woo predicted that Bitcoin will likely experience a bullish breakout in October of this year. He predicted this even as the index posted a strong showing, rising above $67k. Some analysts were quick to predict an immediate bullish outlook for the premier digital currency, but Willy had none.

He tweeted:

In addition to predicting the resumption of the long-term bull market before October, Woo also claimed that 2025 would be a record year for Bitcoin. He focused on global liquidity statistics to make the projections.

Price Action

Bitcoin was largely sluggish for most of this month. However, the largest digital currency by market capitalization shed some value a few days before press time, followed by a half-hearted recovery. Here is how BTC performed earlier today on Bitstamp:

Time to Jump on the Bullish Bandwagon?

Several analysts, including Willy’s colleagues on X, were quick to jump on the bullish bandwagon and declare the resumption of the bull market.

Woo is known for his analytical approach and is a Bitcoin maximalist.

This small rally coincided with relatively positive US Labor statistics, so it could just be an anticipation of the US Federal Reserve cutting interest rates.

Has the Bull Market been Revived?

According to crypto billionaire Mike Novogratz, Bitcoin is likely to fluctuate between $55k and $75k for the time being until another favorable external indicator presents itself. The furor around the Bitcoin block reward halving, aka Bitcoin halving, and the spot ETF approval has died down.

While the trading range suggested by Novogratz is quite broad, it provides a sound basis for the future. Any mediocre move between $60k-$70k will not revive the long-term bull market, that is for sure. The upward forces need to move above the new all-time high of $73k to change their fortunes.

‘Ethereum killer’ Solana has taken the blockchain ecosystem by storm after becoming the fastest blockchain in the world with record transaction speed. Research from CoinGecko shows that the network processed an astounding 95 million transactions in a single day. This achievement is not just a technological feat but also marks a huge milestone in the blockchain and crypto industry. 

Solana Takes The Speed Crown

Solana has emerged as the cheetah of the cryptosphere thanks to its lightning-fast speed.

According to a recent research report by crypto data aggregator CoinGecko, Solana leads with the highest daily average transactions per second (TPS), clocking in at 1,053 TPS. This remarkable achievement in speed solidifies Solana’s status as a so-called “Ethereum killer,” which has long been questioned due to the constant network outages.

Sui comes in second at 854 TPS, followed by Binance Smart Chain (BSC) at 378 TPS, Polygon at 190 TPS, TON at 175 TPS, Tron at 159 TPS, Near at 117 TPS, and Avalanche at 89 TPS.

Meanwhile, established networks like Bitcoin (BTC) and Ethereum (ETH) have long struggled with transaction speed limitations. Ethereum recorded an average peak TPS of 22.8, while the world’s largest blockchain, Bitcoin, processed just 10.7 transactions per second.

CoinGecko analyzed the processing speed of the top 30 blockchains based on their total value locked (TVL) ranking on DefiLlama as of May 15, 2024, to ascertain the fastest blockchains. Processing speed was calculated using the actual or realized TPS metric, measured as a daily average, to ensure a uniform comparison across multiple blockchains.

Solana’s peak performance was awe-inspiring, attaining 1,504 TPS on April 6, 2023, owing to an upsurge in meme coin transactions. This performance makes Solana approximately 46 times faster than Ethereum and 5 times faster than Polygon — the fastest among Ethereum scaling solutions.

CoinGecko’s study noted that despite ranking as the fastest blockchain, Solana has only achieved 1.6% of its theoretical maximum TPS of 65,000.

Solana isn’t even designed for maximum throughput. It’s designed to synchronize state to as many boxes around the world as fast as physics allow. https://t.co/lTfDJuG6mp

— toly | bip-420 (@aeyakovenko) May 17, 2024

Solana’s exceptional speed has not gone unnoticed in the cryptocurrency market. At press time, SOL changed hands for $173, representing a 2.7% gain on the day and an 18.2% increase on the weekly chart. This performance underscores the market’s confidence in Solana’s potential to revolutionize the digital transaction landscape.

Is Solana Truly An “Ethereum Killer?”

Solana started its mainnet operations in March 2020, with a claimed throughput of 50,000 transactions per second (TPS). The network sought to improve Ethereum’s scalability inefficiencies.

Unlike Ethereum, which relies on layer-2 scaling solutions to enhance scalability, Solana offers scalable solutions for a decentralized ecosystem. But Solana’s technique has been widely criticized following its previous repeated outages. In early April, soaring demand for meme coins caused roughly 76% of Solana transactions to fail.

Prior to that, block production on Solana halted for around five hours before developers and validators could build and test a release that contained remediation.

Ripple’s recent announcement of its ambitious plans to expand into Africa has boosted XRP’s trajectory. With the crypto asset now trading at $0.52, the crypto community speculates whether XRP can push past its next resistance level of $0.55 and potentially reach $1.

Ripple, a major leader in cross-border payment solutions, is set to introduce its XRP Ledger (XRPL) and a suite of crypto-native services, including custody solutions, to the African continent.

Reece Merrick, Managing Director Middle East, Africa for @Ripple, says they are best known for payments but stepping into " crypto native services" (custody) and supporting the #XRPL program in the region. https://t.co/MzySaYOw5A "Looking to expand quite heavily here" pic.twitter.com/RfVE7xUjpH

— Crypto Eri Carpe Diem (@sentosumosaba) May 17, 2024

This strategic move is in partnership with MFS Africa, a leading payments firm operating in 35 African countries. Ripple’s On-Demand Liquidity (ODL) product, which leverages XRP to facilitate swift and cost-effective cross-border transactions, will be at the forefront of this expansion.

This collaboration aims to streamline and enhance the efficiency of the region’s remittances and other payment processes, tapping into a vast market with significant growth potential. Reece Merrick, Ripple’s Managing Director for the Middle East and Africa, emphasized the company’s commitment to establishing a robust presence in emerging markets through innovative crypto services.

Market Reaction and XRP Price Surge

The announcement had an immediate impact on XRP’s market performance. The cryptocurrency increased from $0.48 to $0.52, reflecting a 1.4% rise. This surge underscores the market’s positive reception to Ripple’s strategic expansion plans and its potential to drive further adoption of XRP across the African market.

XRP’s market capitalization currently stands at $28.7 billion, and its 48-hour trading volume has reached $1.1 billion, indicating strong investor interest and trading activity. Technical indicators suggest XRP could see further gains, with the next resistance level at $0.55. If bullish momentum continues, the digital asset might target the $1 mark, a significant psychological and technical milestone.

Ripple’s foray into Africa is part of a broader vision to leverage blockchain technology for various financial services beyond cross-border payments. The introduction of custody services and other crypto-native solutions reflects Ripple’s strategy to diversify its offerings and provide comprehensive financial tools to businesses and consumers in the region.

This expansion comes amidst Ripple’s ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). The SEC has accused Ripple of selling XRP as an unregistered security and is seeking approximately $2 billion in fines. Ripple, however, disputes this figure, arguing that the appropriate penalty should be around $10 million. Despite these legal challenges, Ripple continues to pursue its growth agenda.

XRP Technical Analysis and Prediction

XRP has struggled to gain momentum, consistently hitting a wall at the $0.55 resistance level. This stagnation is evident across various timeframes, with the cryptocurrency experiencing declines over the past month, week, and even the last 24 hours. Currently, XRP is trading at $0.52, a slight uptick from its position a week ago.

Despite the sluggish market, analysts offer a more hopeful outlook. They forecast a notable rise for XRP, suggesting that the coin could reach $0.65 by mid-week. This would mark an impressive gain of over 25%.

From a technical analysis perspective, breaking past the $0.55 resistance is crucial for XRP to enter a bullish phase. If the analysts’ optimistic forecast materializes, it could reinvigorate investor confidence and drive further price increases. Conversely, failure to break this barrier might lead to a period of consolidation, with prices potentially stabilizing around $0.50.

The primary challenge with XRP is that its value is largely driven by its underlying fundamentals rather than market hype. As a result, big returns might take longer to materialize.

All eyes are on the United States Securities and Exchange Commission (SEC) for approving the Ethereum exchange-traded funds (ETFs). Following the groundbreaking approval of spot Bitcoin ETFs earlier this year, the anticipation for Ethereum ETFs is palpable, with major investment firms waiting for confirmation.

BlackRock

Leading the charge is BlackRock, the world’s largest investment management company, which submitted an S-1 form for its iShares Ethereum Trust. With CEO Larry Fink believing in Ethereum’s potential, BlackRock’s entry into the Ethereum ETF market shows the huge institutional interest in the second-largest cryptocurrency.

Grayscale

Meanwhile, Grayscale, a prominent crypto asset manager, awaits the SEC’s response to its proposal to convert its Grayscale Ethereum Trust into a spot Ethereum ETF. Having paved the way for Bitcoin ETFs in the U.S., Grayscale will directly compete with BlackRock for the best ETF provider.

Ark 21Shares

ARK Invest, in collaboration with crypto ETF issuer 21Shares, has also entered the fray, filing for an Ethereum ETF with Coinbase as the trustee. Cathie Wood’s ARK Invest is known for its innovative investment strategies, and its entry into Ethereum ETFs reflects the increasing demand for crypto investments.

Fidelity, VanEck, and Hashdex

Fidelity, another major player in the financial industry, signaled its interest in Ethereum ETFs by filing for a product with the SEC through Cboe.

The same goes for VanEck. An established asset manager, it was the first to send its proposal for an Ethereum ETF, but it later withdrew it in 2021.

Brazilian asset manager Hashdex, in partnership with Nasdaq, applied for a Hashdex Nasdaq Ethereum ETF, leveraging its success with crypto ETFs in Brazil.

Franklin Templeton, Invesco Galaxy, and Bitwise

Franklin Templeton’s proposal for a Franklin Ethereum Trust includes staking as part of its investment strategy. With staking gaining popularity in the crypto space, Franklin Templeton is looking to present a unique value proposition and offer more opportunities to its investors.

Invesco, Galaxy Digital, and Bitwise have also submitted proposals for Ethereum ETFs, adding to the growing list of contenders awaiting SEC approval.

While the SEC’s decisions on these proposals are eagerly awaited, industry experts anticipate a potential launch of Ethereum ETFs by the end of the year. If approved, Ethereum ETFs could open up new avenues for mainstream investors to participate in the crypto market and have a huge impact on the market, potentially sending it to new highs.

Solana’s native token, SOL, is leading the recent recovery in crypto prices, outshining most of its large-cap crypto rivals, including Bitcoin (BTC), and signaling that the bulls are attempting a huge comeback. A hedge fund founder sees the prospect of SOL surging to the $200 price tag by the end of this month.

$200 SOL Within Reach

Solana’s SOL has surged over 3.8% in the last 24 hours to reach $175.79 on May 18 — its highest level in over a month. The token’s monthly returns stand at around 33.5%. On the weekly timeframe, SOL’s 20.7% leap was the largest among the top 15 coins and tokens by market cap.

Daniel Cheung, the co-founder of digital asset hedge fund Syncracy Capital, posited on the X micro-blogging site, “Strength on SOL has been incredible on this bounce. Very clear this is still the best trade of this cycle.”

Cheung revealed that he is “much more confident” that the price of SOL could reclaim the $200 mark by the end of this month and rocket to new historic highs “soon.”

Strength on $SOL has been incredible on this bounce – very clear this is still the best trade of this cycle.Much more confident here on ability for SOL to reclaim $200.Frankendancer on the horizon, which paves the way to Firedancer upgrade.ATHs soon. https://t.co/BTKe6uDgpB

— Daniel Cheung (@HighCoinviction) May 17, 2024

SOL set its current record high of $259.96 in November 2021 — about 32.8% higher than the current price — during the peak of the previous bull market. The cryptocurrency crashed to as low as nearly $8 in December 2022 following the implosion of Sam Bankman-Fried’s FTX empire but has rebounded drastically since. It’s up a whopping 739.2% in the past year alone.

The uptick in SOL’s value so far in May can be linked to several factors, including a rise in Solana-based meme coins that are riding the latest wave of crypto hype, growing decentralized finance (DeFi) trading volume, and positive news in the Solana ecosystem. Trading platform Robinhood recently launched its first SOL-staking product for European customers. The rollout boosted investor confidence in Solana, as being featured by a leading brokerage like Robinhood is considered a validation of the crypto’s potential and strength.

Cheung highlighted forthcoming upgrades laying the groundwork for the much-awaited Firedancer upgrade — an entirely new independent client scheduled for release later this year — as another reason to be hopeful for Solana’s price.

Following a 6.46% jump on Friday, Bitcoin takes a bullish stand to dilute the broader market fear. As the BTC price reclaims $67,000, the uptrend chances are improving.

Further, with the FED meeting results coming in dovish, market analysts expect the crypto market to boost with the surge in the US Dollar. On a slightly different viewpoint, the ex-BitMEX CEO expects the Bitcoin price to trade between $60,000 and $70,000 over the next few months.

The bullish reversal helps Bitcoin avoid a drop below the psychological $60,000 level. Will this reflection of huge demand at lower levels lead to a massive jump in May?

Will the coming week mark a positive end? Let’s find out more in our BTC price analysis below.

Will The BTC Price Sustain Above $65,000?

The 14% bearish pullback in April breaks the 7-month streak of bullish candles in the 1M chart. Starting from the new all-time high at $73,794 to a brief dip to $56,500, the pullback violates the $60,000 support zone for a short period.

However, the high demand below $60,000 boosts the BTC price back above $67,000. The buyers avoid a bearish closing under $60,000 in the weekly chart. Further, the lower price rejection is crystal clear in the last few weekly candles, increasing bullish reversal chances.

The trading volume indicator shows a decline in weekly volumes during the pullback phase, bolstering uptrend chances. Currently, the BTC price trades at $67,232, showing a morning star possibility in the 1W chart.

Will Bitcoin Mark The First Bullish May in 4 Years?

According to historical BTC price data, May has been bearish for Bitcoin in the past three years. With a 35% drop in 2021, 15% in 2022, and 6.98% last year, the limiting bearishness could conclude this year with a bullish comeback.

Regarding the price analysis, as per the Fibonacci retracement level, the bullish reversal occurs at the 78.60% level. With an upside potential, the biggest crypto could hit the $70,000 ceiling. Conversely, a reversal could start a consolidation with the bottom support at $63,000.

Bitcoin ETFs Bleed Heavily Over The Week

In a week, the 9 spot Bitcoin ETFs in the U.S. decreased their Bitcoin holding by 16,408 BTC, accounting for almost a Billion dollars.

May 3 Update:9 ETFs decreased 2,350 $BTC (-$144.56M).#Grayscale decreased 2,950 $BTC (-$181.4M) and currently holds 292,176 $BTC ($17.97B).https://t.co/EYQTaMwxyp pic.twitter.com/O3FsqVkyYV

— Lookonchain (@lookonchain) May 3, 2024

With such a sharp drop, the ETF sentiments are clearly bearish despite the last-minute recovery. However, with high anticipations of a bullish tone next week for BTC price, the ETFs could find an overall net positive inflow.

Bitcoin maximalist and financial journalist Max Keiser continues his verbal war against altcoins and their proponents. Once again, he has taken a jab at XRP and Ripple CEO Brad Garlinghouse. Keiser expects the coin to collapse hard in the future against Bitcoin.

Max Keiser Slams XRP, Predicting Price Crash

Max Keiser, the advisor to El Salvador’s president, has again taken to the X social media platform to bash the Ripple-affiliated crypto XRP.

This time, Keiser claimed XRP was designed by Brad Garlinghouse, the Ripple chief executive officer, “to steal billions from witless fools”. Keiser added that XRP “will continue trending to zero against Bitcoin.” For him, BTC is the “Perfect Money sent by God to unfuck our money.”

XRP will continue trending to zero against #Bitcoin #Bitcoin is Perfect Money sent by God to unfuck our money. XRP is dogsh** pooped out by Brad to steal billions from witless fools like John Deaton. https://t.co/Q6twTS8Qy5

— Max Keiser (@maxkeiser) May 16, 2024

Notably, the Bitcoin OG deliberately refused to point out that XRP was actually launched in the market a few years before Garlinghouse took office at Ripple.

Keiser Lauds Centralized USDT

Although Max Keiser is a staunch Bitcoin advocate, he has recently started liking Tether’s USDT stablecoin. Keiser notes that USDT is centralized but still believes it’s a tool to obliterate the United States dollar.

Keiser then elaborated on why many people are converting their fiat money into USDT to access banking services. “Millions of people swap their fiat money for Tether because they don’t have bank accounts or access to banking services,” he tweeted, and “they use Tether like USD.”

It’s a centralized, play-money proxy to the $USD Millions of people swap their fiat money for Tether because they don’t have bank accounts or access to banking services. They use Tether like $USD Tether, in turn, swaps all the fiat money people send them for US Treasuries… https://t.co/CTuxLgsGst

— Max Keiser (@maxkeiser) May 16, 2024

Keiser’s endorsement of Tether could stem from the firm’s recent decision to allocate 15% of its net profits to purchasing BTC.

Meanwhile, Tether has minted another $1 billion worth of USDT on Ethereum and Tron over the past 24 hours, bringing its market cap above $111 billion.  In the past year alone, Tether has minted a total of $31 billion USDT. Historically, Tether’s minting of USDT has catalyzed Bitcoin’s rally to new highs.

Net inflows into the 9 spot Bitcoin Exchange Traded Funds (ETFs) reached $300 million yesterday as the market experienced a healthy bullish phase. The largest cryptocurrency by market capitalization had been languishing below $63k for the better part of the last three weeks, so this price rally was a breath of fresh air for the bullish cause.

Daily ETF Flow

According to Bitcoin ETF Flow data, the net inflow for the ETFs was $303 million on May 15, 2024. Here is the entire breakdown:

Image Source: Farside

According to the spreadsheet, Fidelity’s FBTC fund was the biggest gainer, with a net inflow of $131 million, dwarfing the rest of the pack considerably. BitWise’s BITB and ARK Invest’s ARKB ETFs stood second and third, with $86.3 million and $38.6 million, respectively. The remaining five spot ETFs, including Grayscale, were in single digits.

Bitcoin ETFs Hit the Ground Running

Bitcoin ETFs hit the ground running after being approved at the end of January this year. They have become the best-performing ETFs ever launched in the history of exchange funds. Four top spot ETFs, including BlackRock’s IBIT, FBTC, ARKB, and BitWise, have seen a massive $28 billion worth of buying in just three and a half months.

After the success in America, several other financial destinations have launched their spot crypto ETFs. Hong Kong, in particular, not only launched three Bitcoin funds but also allowed the same three companies to file for Ethereum ETFs, which were also approved. However, the Hong Kong-based funds couldn’t perform as well as their counterparts across the Pacific Ocean. The US has taken the lead here even though it wasn’t the first to cross the line.

However, the performance in the last few weeks has slowed as the crypto market has suffered overall. The end of April witnessed considerable net outflows, with all the top ETFs bleeding value.

The Future

While the total $28 billion invested in US-based Bitcoin ETFs is peanuts compared to the multi-trillion valuation of the entire crypto market, it is important to note that this is a long-term play.

These ETFs are being eyed by top investment banks worldwide, with big names like BlackRock, Morgan Stanley, and JPMorgan already dipping into the market. The US state of Wisconsin has also bought $100 million worth of shares in the ARKB ETF, and that is just one state. It is predicted that sovereign wealth funds, pension funds, and national treasuries will invest in Bitcoin in the near future.

Popular cryptocurrency analyst and trader Michaël van de Poppe has liquidated his Bitcoin holdings. Van de Poppe, a prominent figure at the Amsterdam Stock Exchange known for his sharp market insights, announced this strategic move to his 718,100 followers on social media platform X on May 16.

Despite Bitcoin’s strong performance and institutional support, Van de Poppe clarified that his decision to liquidate was not due to losing confidence in Bitcoin’s future. Instead, he aims to strategically reallocate his investments into altcoins, where he anticipates greater potential returns later in the year. As such, this move is part of a broader strategy to capitalize on market dynamics and emerging opportunities for Van De Poppe.

Institutional Influx and Evolving Bitcoin Dynamics

Van de Poppe highlighted the increasing involvement of major institutional investors in the Bitcoin market, citing the recent approval of the Spot Bitcoin ETF as a significant milestone.

Institutions such as pension funds, insurance companies, and hedge funds are now heavily investing in Bitcoin, further legitimizing its role as a mature financial asset. Additionally, the potential introduction of spot Bitcoin trading by CME Group has reinforced Bitcoin’s standing in the financial ecosystem.

However, Van de Poppe pointed out that Bitcoin’s traditional four-year cycle, heavily influenced by halving events, is becoming less predictable. He explained, “That automatically means that the simplicity of the four-year cycle is going to diminish over time and that the halving will have a reduction in impact over the cycles, as institutions care more about risk appetite in their portfolio combined with macroeconomic events taking place.”

Van De Poppe Turns to Altcoins, Eyes Big Gains

Van de Poppe is confident that altcoins like Ether, XRP, Solana, Cardano, and Shiba Inu have the potential to yield higher returns than Bitcoin in the present market environment. Traditionally, there’s a market shift from Bitcoin to altcoins around the halving cycle. However, given Bitcoin’s persistent strength during this cycle, he expects an upcoming transition that could greatly benefit altcoins.

He also discussed the possible impacts of a spot Ethereum ETF getting the green light despite the existing regulatory challenges. Van de Poppe suggests that the market might be undervaluing the chances and timeline of this approval, which could trigger a significant market shift if it comes to fruition.

High Risks for Potential High Rewards

Acknowledging the high risks associated with his strategy, Van de Poppe expressed confidence in achieving substantial returns, ranging from 300-900% in Bitcoin value within the next 6-12 months. Additionally, he projected overall potential returns of 900-4500% over the next 12-24 months, provided Bitcoin stabilizes.

Additionally, Van de Poppe argued that altcoins have faced undue downward pressure recently, making their potential upside significant and undeniable. He emphasized that Decentralized Physical Infrastructure Networks (DePIN) and Real-World Assets (RWA) are poised for substantial growth. As more traditional companies transition into the Web 3.0 ecosystem.

Despite industry pessimism, spot (ETH) exchange-traded funds (ETFs) that give investors access to Ethereum’s ether (ETH) could be approved sooner rather than later, according to Coinbase, the largest crypto exchange in the United States.

Spot Ether ETFs Only A Matter Of Time

Expectations that the U.S. Securities and Exchange Commission (SEC) will give its regulatory blessing to spot ether ETFs this month have declined significantly amid the agency’s radio silence with potential issuers.

However, despite the broad consensus that an ETH ETF is unlikely to be approved soon, Coinbase analysts believe the market may underestimate the chances of potential approval.

In a Thursday research report, America’s biggest cryptocurrency exchange stated that “while there is uncertainty around a timely approval given the SEC’s apparent silence with issuers,” it’s only a matter of time before such an investment vehicle goes live.

There’s a slew of investment titans — including BlackRock, Fidelity, and Franklin Templeton — who have submitted applications with the SEC to introduce an Ether exchange-traded fund. However, the SEC has continually postponed decision deadlines for the filings. Moreover, prospective fund issuers are bracing for denials as their private discussions with the regulator have not been as productive as they had been before the January approval of spot Bitcoin ETFs.

But as crypto increasingly becomes a major U.S. election issue, and with possible litigation on the horizon in the event of rejections, Coinbase’s institutional research analyst David Han believes the odds of a greenlight are around 30%-40%.

It’s worth mentioning that Coinbase previously met with the SEC to address concerns about the conversion of Grayscale’s Ethereum Trust into a spot ETF, as ZyCrypto reported.

ETH Price May Surprise To The Upside In Coming Months

The Ethereum price has underperformed many of its top peers year-to-date, rising by circa 32% in 2024 compared to Bitcoin’s 56% price growth and Solana’s 65%. However, Coinbase remains bullish on the longer-term prospects of the second-largest cryptocurrency by market cap.

“Ether may have the potential to surprise to the upside in the coming months,” Han posited, arguing that ETH does not have “major sources of supply-side overhangs” like token unlocks or miners’ selling pressure.

“To the contrary, both staking and layer 2 growth have proven to be meaningful and growing sinks of ETH Liquidity,” the Coinbase strategist added. “ETH’s position as the center of decentralized finance (DeFi) is also unlikely to be displaced in our view due to the widespread adoption of the Ethereum Virtual Machine (EVM) and its layer 2 innovations.”

In conclusion, Han says Ether has the potential to outperform in the second half of 2024 despite being an underperformer year-to-date. 

CoinGecko data shows that ETH is up by nearly 4.8% in the last 24 hours. Over seven days, the market’s largest altcoin has risen by roughly 7%. It’s now priced at $3,089.10.

According to Bloomberg markets researcher Maria Torres, Bitcoin’s correlation with tech stocks is at a new nine-month high. This is interesting to note ]as, generally speaking, the largest cryptocurrency by market capitalization is often correlated with Gold and the stock market in general but not with tech stocks. It breathes new life into the supposition that Bitcoin will become a mainstay growth asset shortly, like tech stocks.

Bitcoin-Nasdaq 100 Correlation

According to Torres, the correlation coefficient between Bitcoin and the Nasaq-100 (the main index for tech stocks) reached a high of 0.46. A coefficient of 1 means that the two asset classes are moving in sync with each other, while a coefficient of -1 means that they are acting opposite to each other. So, we are heavily biased towards a correlation during the last eight months or so, with a coefficient close to 0.5. 

This is the highest level since August of last year. Bitcoin has surged more than 250% since August to reach as high as $73k at one point this year. Tech stocks have also been doing really well, with beneficiaries of the AI revolution like OpenAI and Nvidia leading the way.

Is Bitcoin Becoming a Growth Asset in the Conventional Market?

Bitcoin has been criticized by regulators and naysayers over the years because of its volatile nature but praised by proponents as a means of strong financial growth. The correlation with tech stocks shows that the market is ready to see the premier digital currency as a growth asset similar to the latter. The success of spot Exchange-Traded Funds (ETFs) has considerably changed Bitcoin’s game and brought it to the forefront.

According to Joshua Lim, the co-founder of trading firm Arbelos Markets:

“People are refocused on crypto as a growth asset or an asset that represents network value…., The ability of it as a technology and transfer of value mechanism, and that means that it’s gonna be more correlated to other assets that are also pretty growthy like Nasdaq, tech equities, those sorts of things”.

However, this doesn’t sit well with Bitcoin proponents, who see BTC as an independent asset that isn’t swayed by action in the rest of the market. They see it as an outsider who isn’t swayed by government policy and the markets.

Considering the crypto market’s multi-trillion-dollar size, some correlations will likely happen with time. The Bitcoin-Gold correlation is the most interesting one, even as the former has outperformed the bullion market considerably over the years.

On Thursday, May 16, the U.S. Senate approved legislation H.J.Res. 109, effectively nullifying the SEC’s Staff Accounting Bulletin (SAB) No. 121. This bulletin sought to restrict highly regulated financial institutions from holding Bitcoin and other cryptocurrencies in custody. The bill garnered bipartisan support, passing with a 60 to 38 vote, signaling a significant consensus among lawmakers.

Stuart Alderoty, Ripple’s Chief Legal Officer (CLO), praised the decision, describing it as a significant triumph against what he called the “unauthorized overreach” by SEC Chair Gary Gensler.

Finally, something D’s and R’s can agree on: Gensler’s unauthorized overreach when it comes to crypto will not be tolerated. https://t.co/oOdOGOyxmB

— Stuart Alderoty (@s_alderoty) May 16, 2024

SAB 121 aimed to guide how companies should report crypto assets, mandating that these assets be included on their balance sheets. However, critics claimed that this directive would discourage major custodians and other firms from holding cryptocurrencies for their clients.

Industry and Political Reactions

Alderoty emphasized the significance of bipartisan backing in shaping legislation that impacts the cryptocurrency sector. The recent Senate vote highlights an increasing agreement among U.S. lawmakers regarding a balanced regulatory framework for digital assets.

Apart from Stuart Alderoty, key figures such as MicroStrategy co-founder Michael Saylor have praised the Senate’s decision, emphasizing the importance of safeguarding the rights of cryptocurrency holders.

Wall Street wants Bitcoin, the House of Representatives wants Bitcoin, and now the Senate wants #Bitcoin. pic.twitter.com/lLqBv2XZJy

— Michael Saylor (@saylor) May 16, 2024

SEC Commissioner Hester Peirce, known as “Crypto Mom” for her favorable stance on digital assets, has criticized the SEC’s inconsistent approach to regulating custodial services for cryptocurrencies. Peirce’s critique aligns with the industry’s view that the SEC’s actions reflect a scattergun approach to crypto regulation, which could impede innovation and sector growth.

Senator Cynthia Lummis, a staunch advocate for Bitcoin, joined the chorus urging the Senate to support the reversal of SAB 121. In a passionate plea, she denounced the rule, labeling it a deceptive maneuver within the Administrative Procedure Act. Lummis underscored that the SEC staff pushed through SAB 121 without receiving majority approval from the commission.

On the other hand, Bitcoin critique senator Elizabeth Warren made a compelling case for caution, urging her Senate colleagues to vote against the measure. She emphasized the unique nature of digital assets, highlighting that, unlike traditional assets, they exist solely online. Warren pointed out that this digital nature makes them susceptible to cyberattacks, citing recent breaches at major crypto exchanges like Binance and FTX as examples.

Uncertainty Looms Over Resolution

Even after securing Senate approval, the outlook for H.J.Res. 109 is precarious due to the looming threat of a presidential veto. President Biden’s potential veto, as promised last week, could thwart the resolution’s progress, leaving the current custody framework for digital assets by financial institutions intact. Biden faces a decision to either sign the bill into law, veto it, or take no action, which would lead to the bill becoming law without his signature.

Eleanor Terrett, a correspondent for Fox Business, offered her perspective on the Senate’s move, noting, “The Senate has voted to overturn SAB 121 which, as we all know, means this now heads to the President who said last week he plans to veto it. If so, then it’s back to square one with the House & Senate which would need a 2/3 majority vote in both chambers to override the veto.”

The House of Representatives approved the resolution last week, with 55% of votes in favor. The Senate vote on Thursday showed a more decisive split, with 60% in favor and 38% against. All Republicans voted in favor, joined by 11 Democrats.

Bitcoin bulls are struggling to maintain their earlier gains, driven by positive U.S. inflation data. After the Wall Street opening on May 16, Bitcoin (BTC) fell below $66,000, even as new U.S. macroeconomic data supported the bullish outlook.

Taking advantage of the price slip, an unidentified Bitcoin whale has made headlines by purchasing 101.7 BTC, valued at over $6.7 million. This move brings the whale’s total Bitcoin holdings to a staggering $230 million, amassed over the last two months.

This substantial acquisition comes as the market grapples with volatility and reacts to significant economic data from the United States.

Bitcoin Whale Makes Big Moves Amid Market Uncertainty

According to a post shared by crypto analyst Lark Davis on X, a whale, a term used to describe entities holding large amounts of a crypto asset, bought 101.7 BTC. This is part of a broader accumulation strategy that has seen the whale amass $230 million in Bitcoin over two months. This purchase occurred as Bitcoin prices hovered around $65,236 after falling from the critical $66,000 mark.

A whale just bought 101.7 Bitcoin worth over $6.7 million dollars.In the last 2 months (while you were bearish), this guy accumulated $230 million worth of $BTC .If you keep selling your precious Bitcoin in times of fear, whales will continue to accumulate. pic.twitter.com/zV1MHBDbt0

— Lark Davis (@TheCryptoLark) May 16, 2024

This acquisition is particularly noteworthy, given the current market conditions. The Bitcoin market has been experiencing notable fluctuations, with BTC/USD slipping below $66,000 following the release of new U.S. economic data. Despite a recent rally, which saw a 7.5% increase in Bitcoin’s price, maintaining these gains has proven challenging.

The latest U.S. jobless claims report, released on May 16, showed 222,000 new claims, slightly below the forecasted 220,000. This report added to the positive momentum generated by the previous day’s Consumer Price Index (CPI) and Producer Price Index (PPI) data; both exceeded expectations and spurred a broad rally in risk assets, including Bitcoin.

Keith Alan, co-founder of trading resource Material Indicators, commented on the market’s reaction. “As difficult as the PPI report may have been to interpret, today’s Core Inflation metrics seem to be very easy. Good News = Good News,” he remarked on X. This sentiment bolstered hopes that Bitcoin could overcome significant resistance levels and continue its upward trend.

Analyst Points Out Crucial Bitcoin Price Support to Remain Strong

Despite the positive outlook, analysts are advising caution. CrypNuevo, a well-known trader, highlighted a crucial resistance area from $66,000 to $70,000, with $69,000 being a significant liquidity level. He mentioned the possibility of consolidation or retracement before aiming for this cluster, indicating potential volatility in the near future.

$BTC Liquidation Heatmap 1-month time frame:We're entering a liquidation cluster zone that goes from $66k to $70k.The level with the highest liquidations inside this area is $69k (main liquidity level).We might consolidate or retrace first, but this cluster is the target. pic.twitter.com/k1vtVwXODr

— CrypNuevo (@CrypNuevo) May 16, 2024

Keith Alan emphasized the importance of testing lower support levels to confirm a sustained bull run. He pointed out that Bitcoin has not yet retested support near the local low of $56,500. Moreover, the 50-day moving average, currently at $65,100, represents another potential barrier. “Bid support remains thin down to the $60,000 – $61,000 range,” Alan warned, indicating that a dip below $60,000 might be necessary to solidify a robust market foundation.

MicroStrategy chairman Michael Saylor has taken to social media to celebrate the potentially game-changing moment for the crypto sector after the U.S. Senate passed a resolution to rescind a Securities and Exchange Commission (SEC) accounting rule targeting banks that offer crypto services.

“Wall Street wants Bitcoin, the House of Representatives wants Bitcoin, and now the Senate wants Bitcoin,” the Bitcoin-loving exec stated on X (formerly known as Twitter).

Senate Denounces SEC’s Draconian Crypto Custody Rule

On Thursday, the U.S. Senate joined the House of Representatives in seeking to scrap the SEC crypto policy known as Staff Accounting Bulletin No. 121, which could pose a major threat to crypto custodial services in the United States.

The controversial rule requires banks that safeguard crypto assets to record them as a liability on their corporate balance sheets. Critics argued that the proposed bill would disincentivize banks from providing custodial services for digital assets. 

A dozen Democrats voted alongside a majority of Republicans in favor of the resolution, giving it well over the simple majority of votes required to pass. However, the resolution did not garner enough votes to make it veto-proof.

Bitwise’s Chief Investment Officer Matt Hougan described the Senate’s move as transformative for the industry: “This is a game-changing moment for crypto. It’s one of the catalysts that will propel crypto to new all-time highs as the market digests the sea change that’s occurred here.”

Besides the previous crypto taxation provision that made its way into an infrastructure law despite the industry’s opposition, this represents the first time that Congress has moved on an issue that focuses on the crypto sector — and is in a way meant to benefit the industry.

Biden Vowed To Veto SEC Crypto Policy

Jake Chervinsky, Chief Legal Officer at Variant Fund, further commented on the potential implication of the legislation passage, noting, “The Senate just delivered a deafening bipartisan message in favor of common sense and against SEC overreach. It’s impossible to overstate the importance of Majority Leader Schumer voting to repeal SAB 121 over President Biden’s threatened veto.”

Notably, President Joe Biden has already indicated that he would veto the resolution if it’s passed. Biden argues that shooting down the SAB 21 rule could hinder “work to protect investors in crypto-asset markets and to safeguard the broader financial system.”

That being said, crypto enthusiasts and experts alike remain on edge as they await President Biden’s decision. 

BTC was changing hands at $66,357.94 as of publication time, a +0.4% change on the day.