Ethereum has steadied the uptrend following the dip to $1,564 earlier this week. The formation of a short-term falling wedge, as discussed in the previous ETH price prediction boosted the bulls’ presence and confidence in the market.
The largest smart contracts crypto, although barely unchanged on Thursday toward the end of the Asia session is trading at $1,603. There was a sharp but brief breakout to $1,633 during the American session but news about the US Securities and Exchange Commission (SEC) delaying the decision on two spot Ethereum exchange-traded funds (ETFs) triggered a minor pullback.
SEC Postpones Decisions on ETFs From Ark, VanEck
The SEC announced on Wednesday that it is delaying the decision on ARK 21Shares Ethereum ETF until December 26. According to the agency, the delay is necessary as it allows taking “action on proposed rule change” and considering the rule change and concerns that emerge from it.
“The Commission finds it appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change and the issues raised therein,” the SEC filing stated.
It is barely a month since Cathie Wood’s Ark Invest and 21Shares filed with the SEC. The move by the two companies was welcomed with open arms amid issues of extremely low volatility across the crypto market.
Amidst fears of a government shutdown in the US, the SEC also delayed the decisions on another proposal, VanEck Ethereum ETF, which will be considered again on December 25.
On Tuesday, the agency announced the delayed decision to approve or reject the ARK 21Shares Bitcoin ETF, which will be considered again in 2024 with the deadline set for January 10.
Ethereum Price Bullish Comeback
The delays on Ethereum spot ETFs triggered a minor retracement but support provided by the 23.6% Fibonacci level gave bulls another chance to reaffirm the uptrend. Ethereum currently holds above the 50 Exponential Moving Average (EMA) (red) at $1,600 and this is a positive short-term signal.
For Ethereum price to carry on with the uptrend, bulls must reclaim the 100 EMA (blue) support/resistance at $1,610 and do the same with the 200 EMA (purple) at $1,640.
The Relative Strength Index (RSI) reinforces the strength of the uptrend as it seeks support above the midline following a rebound from near-oversold conditions earlier this week.
Traders can also sit tight with confidence that ETH’s recovery will continue to $1,700 and later to $1,800 based on the positive outlook of the Moving Average Convergence Divergence (MACD) indicator.
A buy signal sent on September 25 encouraged traders to seek exposure to Ethereum longs. With the blue MACD line above the red signal line, the path with the least resistance will remain to the upside.
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The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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