Bitcoin (BTC), which saw rapid gains at Wall Street’s open March 9, held on to its gains as nervousness over U.S. regulatory actions subsided.
BTC/USD 1-hour candle charts (Bitstamp). Source: TradingView
With a whimper, executive order comes into effect
Cointelegraph Markets Pro and TradingView data showed that BTC/USD had maintained $42,000 at the beginning of trading on March 9.
They had reacted to the latest round in macro tensions and added over 11% within 24 hours. This makes them among the top movers in the wider crypto market.
Although traders and analysts had mixed feelings about the significance of this move, new information regarding U.S. President Joe Biden’s executive order on cryptoassets seemed to calm some market fears.
A fact sheet was attached to indicate that the order is more investigative than draconian. This makes the White House’s latest efforts quite different from last year’s Infrastructure Bill.
It concluded that the Administration would continue to work with Congress and across agencies to create policies that guard against risk and guide responsible innovation. This will be done with our allies and partner nations to build international capabilities that responds to national security threats and with the private sector, to study and support technological advancements in digital assets.
Bill Barhydt (founder and CEO of payment gateway Abra) reacted and called the order “a nothing burger with psychobabble” and stated that Bitcoin was rallying.
The fact sheet did not mention Bitcoin, but only “digital assets”, and “cryptocurrencies.”
“Today, the President signed an Executive Order regarding crypto-assets. I look forward to working with colleagues across government to achieve important goals in public policy: protecting investors and consumers, guarding against illegal activity, and helping to ensure financial stability,” Gary Gensler (chair of the Securities and Exchange Commission) wrote via Twitter.
The order included a promise to continue research on a central bank digital currency (or CBDC) by the U.S government.
Range resistance is not to be broken
Market players were able to forecast higher short-term because of the BTC price action.
Related: Bitcoin transaction fees temporarily doubled, but remain extremely low
John Wick, an options trader who is also a pseudonymous Twitter user, saw a scenario similar to the one in which BTC/USD was earlier in March.
#BTC Reversal bar + Squeeze Arrow setup has up (again), targeting $44k for retest. Indicators from https://t.co/c5WtFtKTRV https://t.co/f7AEvUEHQ5 pic.twitter.com/XLfUiwC42Q
— John Wick (@ZeroHedge_) March 9, 2022
Crypto Ed did not expect a rematch of its previous high, and others remained cautious.
He wrote that Bitcoin looks like it completed its move at $42,550. Just a marginal new peak was sufficient apparently.” In his latest Twitter update.
Bearish prognoses remained, with little indication that Bitcoin would move from its high of $46,000.