BTC and MARKETS about to SOAR?

Bitcoin Price Prediction as Trillion Dollar Investment Firm Fidelity Says BTC is About to Soar – $100,000 Incoming?

Bitcoin's current stability, trading at $62,901 with a modest 1% increase, indicates a potential bullish trend. This mirrors Fidelity Investments' analysis, which suggests that periods of calm often precede significant price surges in Bitcoin, similar to patterns observed in major technology stocks.

Despite reaching record-high prices, Bitcoin has shown remarkably low volatility over the past year, a trend highlighted in a recent report by Fidelity Investments. Analyst Zack Wainwright suggests that this stability may signal an impending price surge for Bitcoin.

Comparisons with major tech stocks like Nvidia, Tesla, and Meta Platforms reveal that Bitcoin's stability is even higher. This stability, coupled with its decreased volatility, suggests a maturation in the cryptocurrency market, attracting more investors.

Fidelity's analysis considers external factors like the Covid-19 pandemic, emphasizing the unpredictability of global events on financial markets.

In terms of price prediction, Bitcoin is currently at $62,901 with a pivot point at $64,655. Immediate resistance levels are at $67,084, $69,356, and $71,309, while support levels are at $61,531, $59,164, and $56,677. Technical indicators, such as the Relative Strength Index (RSI) at 49 and the 50-day Exponential Moving Average (EMA) at $61,687, suggest a balanced market dynamic.

Overall, the analysis points to a bullish outlook for Bitcoin above $61,685, while a dip below this level could trigger a significant sell-off, highlighting the delicate balance in Bitcoin's ongoing market positioning.

Ethereum sees $30M inflows after weeks – This is the key reason why

For the fourth consecutive week, digital asset investment products experienced more outflows than inflows, with Coinshares, the leading asset manager, reporting this trend on May 7th. Total outflows amounted to $251 million, with Bitcoin (BTC) accounting for $284 million. However, Ethereum (ETH) saw inflows worth $30 million, marking the first positive inflow in seven weeks.

This surge in Ethereum's inflows was attributed to the launch of Bitcoin and Ethereum spot ETFs in Hong Kong the previous week, which attracted $307 million in inflows during the first week of trading, according to CoinShares. Additionally, anticipation of the U.S. decision regarding Ethereum ETF applications could have contributed to this increase.

While some experts expressed skepticism about the approvals, others remained optimistic. In the week before last, Litecoin (LTC) and Chainlink (LINK) led the inflows, but last week, these altcoins did not attract investors' favor.

The approval of Ethereum ETFs could potentially lift ETH from its current phase, while rejection could trigger another correction wave. Currently, ETH is trading at $3,067, with predictions suggesting a possible slide to $2,800, as seen a few weeks ago. However, some traders are targeting a return above $4,000.

The Market Value to Realized Value (MVRV) ratio, which measures the profitability status of holders, indicates that ETH is currently undervalued, with a 30-day MVRV ratio of -3.447%. Historically, significant buying opportunities emerge when the metric is between -7% and -18%. This suggests that those waiting for good entry points into ETH may need to wait longer.

Despite the negative reading, it might not be an ideal accumulation point for ETH. However, market participants remain hopeful that Ethereum's time to shine is not far away, although it would require intense buying pressure to reward positions.

SEC’s Gary Gensler gets irked being asked about crypto

Gary Gensler, the Chair of the United States Securities and Exchange Commission (SEC), expressed frustration with the disproportionate focus on crypto in media inquiries compared to traditional finance. He highlighted that while the crypto market is valued at $2.4 trillion, it pales in comparison to the SEC's oversight of a $110 trillion capital market. Gensler noted that much of the crypto market doesn't comply with U.S. securities laws, leading to a disproportionate amount of scams and frauds.

During an appearance on CNBC's Squawk Box, Gensler pointed out that he often faces numerous questions about crypto during interviews, despite the vast size of traditional capital markets. He emphasized that the financial media's focus on crypto doesn't align with the SEC's broader scope.

Gensler sidestepped questions about specific companies, including the SEC's Wells notice to Robinhood, which alleged violations of securities laws regarding its crypto services. He stressed the importance of investors receiving proper disclosures about crypto and indicated that many tokens could be considered securities under U.S. law.

Paul Grewal, Coinbase's legal chief, challenged Gensler's characterization, asserting that tokens are not securities. Grewal criticized Gensler for misleading the market, citing court documents that allegedly contradict the SEC's position.

Gensler avoided directly addressing whether Ether (ETH) is a security and if the SEC would approve an ETF related to it, stating that such matters would be considered by the SEC commissioners in due time.

Responding to allegations that he misled Congress, Gensler defended the SEC's practices, stating that they accurately represent their actions. He clarified that the SEC doesn't discuss ongoing investigations or opinions on legal matters unless they bring a case.

Despite criticism, Gensler insisted that the SEC operates transparently and within its mandate. The SEC has filed six crypto-related lawsuits in 2024 and significantly increased enforcement actions against crypto firms in recent years. Numerous court cases are still ongoing, primarily focused on allegations of selling unregistered securities and illegal operations.

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