Bitcoin, the leading cryptocurrency, recently crossed the $38,000 mark, but experienced a quick retracement to $37,700 due to rapid profit-taking. This is significant as it represents a level that Bitcoin has been testing for a considerable period without a successful breakthrough. If the price can reclaim $38,000 and close above it, there is anticipation that altcoins could experience favorable market conditions in the days ahead.
Why is Bitcoin Rising?
The delayed start of Bitcoin’s rise prompts the question: “Why did it begin late?” Earlier this week, signs of a settlement with Binance and the resignation of CZ (Changpeng Zhao) were observed. This addressed one of the significant concerns for cryptocurrency investors, eliminating a major risk. Furthermore, the appointment of an auditor to the company suggests Binance is taking steps to minimize future risks and operate in full compliance with regulations.
The SEC’s objection was tied to potential adverse effects on the markets if a spot Bitcoin ETF dominated by Binance were approved. Going forward, the resolution of these issues could pave the way for more stable market conditions.
Now, for Bitcoin’s price to surpass $38,000 would confirm that the Binance incident is viewed as a bullish signal. In the upcoming days, there is anticipation that altcoins could see substantial increases in value.