Following the opening of Wall Street on December 15th, Bitcoin experienced new selling pressure, falling below the $41,700 level. At the time of writing, Bitcoin was trading at $42,108, and TradingView data indicated that the BTC/USD pair had undergone a drop of over $1,300 or 3.2% during the day.
Bitcoin, having recovered from sudden volatile movements on December 14th, failed to maintain the $43,000 level due to investor selling pressure. This weakness in Bitcoin prices coincided with the news that the U.S. Securities and Exchange Commission (SEC) had rejected a request to review crypto regulations by major exchange Coinbase.
The SEC is currently involved in the crypto market and is expected to approve the services of the first U.S. Bitcoin spot price exchange-traded fund (ETF) at the beginning of 2024. SEC Chairman Gary Gensler acknowledged the latest legal process of rejecting Bitcoin spot ETF applications in an interview with Bloomberg on December 13th.
While analyzing the current state of the BTC/USD pair’s order books, prominent investor Skew pointed out an increase in bid support at the $41,000 level. Keith Alan, founding partner of Material Indicators, referred to the struggle to convert an important weekly level into support.
It was noted that large-volume investors, referred to as mega whales, increased their purchasing activities during this period and were attempting to reclaim the $42,000 level.