Bitcoin (BTC) Price Holds onto $8,000 Despite ETF Delay
Despite a further delay on a decision for the VanEck/SolidX Bitcoin Exchange Traded Fund (ETF), the price of Bitcoin has managed to maintain its position just below $8,000.
The United States Security and Exchange Commission (SEC) has once again delayed its decision regarding whether or not to approve a Bitcoin ETF proposal put forward by investment firm VanEck in collaboration with blockchain firm SolidX.
The new date set for a decision on the ETF is now August 19, well over a year since the proposal was first put forward. The SEC can only delay the decision one more time after this before it must make a final ruling on the proposal.
Previous delays to Bitcoin ETF’s have had negative effects on the Bitcoin price but it would appear the asset has grown immune to the bad news lately. After making solid gains last week and climbing to almost $8,500, Bitcoin fell to just below $8,000, where it has remained for the past few days. BTC managed to climb just above $8,000 for a few hours earlier today but has now settled again around $7,930.
Bitcoin price movements
Earlier today, financial analyst and Forbes contributor William Pesek put forward a strong argument to suggest that the price of Bitcoin is moving in tight correlation with the Chinese Yuan (RMB) versus U.S dollar price. In his analysis he notes how price drops in Chinese Yuan against the dollar result in increases for Bitcoin, suggesting that the ongoing U.S/China trade war may have significant knock-on effect for Bitcoin.
The news would indicate that wealthy Chinese investors are doing their best to get money out of the country and into cryptocurrencies despite bans and crackdowns on crypto trading in the nation. After banning both initial coin offerings (ICO’s) and Bitcoin trading, the Chinese government recently announced a potential ban on cryptocurrency mining in the country.
As Bitcoin’s price continues to trade sideways its technicals are moving into more neutral territory. Last week, BTC’s relative strenth index (RSI) was in a heavily overbought position but has become far more neutral the past few days. Moving averages also suggest Bitcoin remains in a good position for buyers and the fact that it has withstood the recent SEC Bitcoin ETF news further validates this fact.