Bitcoin price analysis: BTC/USD dangerously close to 2018 low; Jay Clayton from SEC may be behind the free fall on Tuesday
|- The head of SEC wants to regulate all digital assets.
- Bitcoin bulls are nowhere to be seen so far.
BTC/USD recovered from Tuesday losses to trade at $6,559, mostly unchanged since the start of the day. The digital coin No.1 lost over 4% on daily basis and touched the lowest level since the end of March ($6,450)
Speaking at WSJ CFO conference that took place in Washington on June 11-12, SEC Chairman Jay Clayton effectively declared that he wants to get all digital tokens under its regulatory oversight. He believes that changing a name from security to token doesn't mean that the asset can be exempt from financial regulation. On the contrary, it should be scrutinized quite significantly.
“It made me unhappy that people thought that by calling it a #token it was somehow exempt from regulation. Let me be clear it does not,” he said.
While the regulation per se is not necessarily a bad thing, authorities are yet to come to grips with new realities and stop treating all digital assets in an indiscriminate way.
Bitcoin's technical picture
From the intraday perspective, recovery attempts are likely to be capped by $6,700 and $6,740, which is 50 and 100-SMA (30-min chart) respectively. If this level is successfully passed, the upside may be extended towards the next local goal at $6,900 and to $7,000. The support is created by Tuesday low registered at $6,450. That's where fresh buying interest is likely to appear. However, a sustainable movement lower may trigger panic selling.
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