Potential Outcomes if Bitcoin Drops Below $57,000
Ethereum ETF Approval Near; XRP Ledger Grows in South Korea
Bitcoin (BTC) has been struggling to maintain its recent highs, and if it breaks below the crucial $57,000 level, three significant outcomes could occur:
Invalidation of 200 EMA Support
The 200 Exponential Moving Average (EMA) would no longer serve as a support level. Losing this critical support could push Bitcoin into bearish territory, potentially exacerbating the sell-off.
Buyer Reaction and Liquidations
Many buyers might see BTC around $56,000 as a low price and rush to purchase. However, if Bitcoin fails to hold this level, increased selling pressure could lead to further liquidations, accelerating the decline and making it harder for the price to stabilize.
Impact on Institutional Selling
Some institutional selling operations may halt due to insufficient liquidity. This could result in a sideways market with Bitcoin trading between $55,000 and $60,000. However, continued institutional selling could drive Bitcoin's price down to as low as $50,000.
Imminent Approval of Ethereum ETF by VanEck
VanEck has filed Form 8-A for its spot Ethereum ETF with the SEC, signaling a major step toward approval. This move could indicate that VanEck has received approval from the regulatory agency to submit an application. Bloomberg senior ETF expert Eric Balchunas views this as a "good sign," suggesting that approval could occur within seven days before July 2. Nate Geraci has also indicated that the SEC might approve Ethereum ETFs before Independence Day (Fourth of July) in the U.S.
Ripple's VP Highlights XRP Ledger's Growth in South Korea
Emi Yoshikawa, Ripple's VP of Corporate Strategy & Operations, expressed excitement about the growing momentum of XRP Ledger (XRPL) in South Korea. This increase is notable as more businesses engage with digital assets and seek reliable platforms for their initiatives. Yoshikawa highlighted the development of Infinite Block, Korea's sole licensed digital asset custody provider, which recently joined the XRP Ledger blockchain as a validator.
Infinite Block plans to expand XRPL-based custody services and enhance blockchain services in compliance with domestic regulations. They also aim to provide consulting for the regulatory compliance of key XRPL initiatives and ecosystem builders.
