Bitcoin, Ethereum to shake off ‘toothless adversary’ SEC as FOMC looms

Bitcoin (BTC) and Ether (ETH) are prone to volatility, not because of the lack of action from United States regulators, a recent analysis has shown.

In its most recent market report on June 9, QCP Capital, a trading firm, advised investors to be prepared for BTC and ETH prices to be affected by macroeconomic factors.

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QCP Capital: U.S. crypto “mudslinging” to continue

The aftermath of the U.S. Securities and Exchange Commission’s lawsuits against exchanges Binance and Coinbase is still unfolding.

QCP anticipates further disruption ahead, as the macro environment becomes increasingly uncertain from next week onwards.

Even if the SEC and Chair Gary Gensler continue to pursue crypto, they will not cause the widespread price drop that some are worried about.

“Gensler and his cohorts at the SEC have once again employed their ‘securities’ scare tactics on their chosen target industry. Nevertheless, as we have previously stated, BTC/ETH will remain unperturbed by the SEC, especially as it becomes increasingly evident that neither will be considered a ‘security’,” it was stated.

QCP cautions that the U.S. Department of Justice or other government entities could cause a stir if they become involved.

“Should one of them become involved, the situation would become more serious and all prior agreements would be invalidated,” it went on.

The aftermath of the legal disputes has not had a negative effect on the attitude of crypto market participants, as evidenced by the Crypto Fear & Greed Index remaining at 50/100, which is in the “neutral” range.

Bitcoin price consolidates into “action packed” week

In addition to the SEC, the macro data reports due next week may also act as a catalyst.

The trader suggested that the Bitcoin price could increase by up to 60% if the “textbook” chart pattern is confirmed.

The Consumer Price Index (CPI) report for May is expected to be released on June 13, accompanied by a Federal Reserve policy announcement that will determine the future of key interest rates.

“We have a busy macro week ahead of us next week, with US CPI, the June FOMC (including quarterly Fed rate projections) and other significant central bank meetings all taking place,” remarked QCP.

The examination likewise noticed alterations to the Treasury General Account, likely to draw liquidity from the monetary system and consequently present a possible obstacle for risk assets in general.

Arthur Hayes, the former CEO of BitMEX, has been keeping an eye on that theory since the beginning of 2023, as have other prominent crypto personalities.

QCP is feeling hopeful as BTC/USD remains close to significant support levels, particularly the 200-week EMA.

At the time of writing, /BTC/USD was trading at approximately $26,600 on Bitstamp, as per information from Cointelegraph Markets Pro and TradingView.

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