Crypto News Today: BTC-Spot ETF Trading Volumes, the SEC, and Senator Warren

Key Insights:

• BTC declined by 0.63% on Thursday, ending the session at $46,421.
• The launch of BTC-spot ETFs failed to send BTC through the $50,000 handle.
• US lawmaker scrutiny, crypto-spot ETF-related news, SEC v crypto, and SEC activity remain focal points.

Bitcoin-Spot ETF: Inflows Impress on Day 1

BTC declined by 0.63% on Thursday. Partially reversing a 1.13% gain from Wednesday, BTC ended the day at $46,421. Significantly, BTC struck a high of $49,020 before retreating.

Bloomberg Intelligence ETF analyst James Seyffart shared trading volumes from day 1 of the BTC-spot ETF market, saying,

“Trading volume was over $4.6 billion with GBTC about half of it. BlackRock (BLK) and Fidelity went 1 & 2 absent GBTC.”

The markets attribute Grayscale volumes to outflows, contrasting with inflow volumes for BLK and Fidelity.

While Fidelity and BlackRock battled it out on Day 1, Vanguard sent the markets a different message. On Thursday, news hit that Vanguard will not provide ETFs linked to bitcoin. Significantly, Vanguard reiterated that it has no plans to launch Vanguard BTC-spot ETFs or other crypto-linked products.

The BlackRock iShares ETF umbrella and Vanguard rank 1 & 2 on the ETF Brand League Table.

Other Wall Street names are reportedly still deciding whether to offer BTC-spot ETFs to their clients. These include Merrill Lynch, while Swiss giant UBS is giving clients access to BTC-spot ETFs.

Day one of the BTC-spot ETF market did not go without US lawmaker scrutiny.

Senator Elizabeth Warren, Jamie Dimon, and the Anti-Crypto Army

Amidst the first-day chatter, Senator Elizabeth Warren shared her views on the SEC approvals, saying,

“The SEC is wrong on the law and wrong on the policy with respect to the Bitcoin ETF decision. If the SEC is going to let crypto burrow even deeper into our financial system, then it’s more urgent than ever that crypto follow basic anti-money laundering rules.”

Senator Warren referenced the Digital Asset Anti-Money Laundering Act. Some view the bill as effectively banning bitcoin due to the stringent banking-style regulations it would impose on the US crypto market. In December, Senator Warren lined up US bank CEOs, including Jamie Dimon, to convince lawmakers to support the Digital Asset Anti-Money Laundering bill.

Senator Roger Marshall recently admitted the American Bankers Association helped draft the bill.

Amicus Curiae attorney John E. Deaton had this to say about the Senator Warren post,

“Someone got a call from the boss Jamie Dimon today.”

JPMorgan Chase and CEO Jamie Dimon will likely remain in the crypto spotlight after the anti-crypto rant on Capitol Hill. JPMorgan (JPM) is an Authorized Participant in BTC-spot ETFs despite Dimon saying he would ban BTC if he were government.

However, Senator Warren may feel betrayed by SEC Chair Gary Gensler. Fox Business journalist Eleanor Terrett shared the SEC vote on BTC Spot ETFs. SEC Chair Gary Gensler and commissioners Hester Peirce and Mark Uyeda voted 3:2 in favor of approval. The SEC Chair vote proved vital.

As the dust settles, trading volumes and net inflow/outflow numbers need consideration. Lower GBTC trading volumes and upswings in new issuer volumes could signal a transition from rotation. Increasing investor access through US bank platforms would also be a boon for BTC and the broader crypto market.

Technical Analysis

Bitcoin Analysis

BTC sat well above the 50-day and 200-day EMAs, sending bullish price signals.

A BTC move through the $48,178 resistance level would give the bulls a run at the $50,500 resistance level. However, investors must break down resistance at the Thursday high of $49,020.

On Friday, the markets remain focused on US lawmaker chatter, BTC-spot ETF-related updates, and the SEC activity.

However, a fall through the $46,020 support level would bring the $44,690 support level into play.

The 14-Daily RSI reading, 61.07, indicates a BTC break above the $48,178 resistance level before entering overbought territory.

Ethereum Analysis

ETH held well above the 50-day and 200-day EMAs, affirming bullish price signals.

An ETH move through the $2,650 resistance level and the Thursday high of $2,707 would bring the $2,800 handle into play.

Investors should monitor updates related to ETH-spot ETFs.

However, a drop below the $2,500 handle would support a fall to the $2,457 support level.

The 14-period Daily RSI at 68.29 suggests an ETH move to the $2,650 resistance level before entering overbought territory.