On April 1st, a date typically associated with pranks, Dogecoin, Litecoin (LTC), and Bitcoin Cash (BCH) may undergo a notable transformation in their regulatory status. While LTC’s performance has been subdued, DOGE and BCH have experienced double-digit gains within the past day, all linked to a common catalyst.
New Regulatory Prospects
The upcoming decision by the U.S. Commodity Regulator (CFTC) may reclassify DOGE, LTC, and BCH as commodities if it approves the derivative products proposed by the Coinbase exchange. This reclassification, effective April 1st if unopposed, would shift these altcoins from the purview of the SEC to the more lenient CFTC, offering a potential haven for investors seeking relief from the burden of securities litigation.
Market Reactions and Speculations
The potential regulatory shift has spurred an uptick in DOGE and BCH prices, drawing parallels to the prolonged legal struggles of XRP Coin with the SEC and the precarious position of other cryptocurrencies like MATIC Coin. These events are driving investor interest towards the three altcoins under consideration.
In terms of price, DOGE has recently breached the $0.2 mark, and a break above the $0.225 resistance area could set eyes on the $0.3 level, not seen since November 2021. The absence of major resistance in this zone could lead to swift rallies, although dips back to lower support levels also remain a possibility.
Meanwhile, the REI altcoin has surged by almost 200% on the Binance exchange, claiming the title of the highest rising altcoin. Such explosive growth bears the risk of equally rapid declines, warning investors to exercise caution. Similarly, CLV Coin has gained substantial ground, increasing by 114% in the last fortnight, but faces the risk of potential sell-offs if support levels fail to hold.