In the most recent installment of “The Market Report,” Cointelegraph analyst and writer Marcel Pechman delves into the impact of Ripple’s partial victory against the Securities and Exchange Commission (SEC) on the crypto market. After the initial emotional reaction from traders following the headlines, altcoins experienced a significant decline, giving away half of their gains as investors had time to process the news.
On July 13, the United States District Court for the Southern District of New York ruled that Ripple’s XRP token is not considered a security, but only for programmatic sales on digital asset exchanges. However, the question of sales to institutional investors still remains an open case.
According to Timothy Massad, a former chair of the Commodity Futures Trading Commission, there is a possibility that the SEC could appeal the judge’s decision, potentially overturning Ripple’s initial win.
Pechman argues that the XRP decision had little impact on price. Instead, he believes that the spot Bitcoin exchange-traded fund (ETF) will be the main trigger for the market over the next 18 months, with altcoins initially underperforming in comparison to Bitcoin.
Additionally, Pechman explores how macroeconomics and regulatory concerns could potentially drive Bitcoin’s price to $29,000. He notes that the Bitcoin futures premium has remained stagnant at a neutral 7% level for the past week. The show also discusses the Tether premium in China, which recently hit its lowest level in over six months, indicating a desire to exit the crypto markets.
Moving on to fundamental analysis, Pechman highlights the ongoing cases by the SEC against crypto exchanges Binance and Coinbase, as well as the worsened macroeconomic environment following China’s lower-than-expected gross domestic product growth. He also discusses the likelihood of the U.S. Federal Reserve increasing interest rates further in 2023.
For more insights, viewers are encouraged to watch the latest episode of “The Market Report” exclusively on the new Cointelegraph Markets & Research YouTube channel.
Overall, this episode of “The Market Report” explores Ripple’s legal victory against the SEC and its potential implications for the crypto market. Despite initial excitement, the impact on prices was minimal, with the focus shifting to other factors such as the spot Bitcoin ETF and regulatory concerns.
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