Bitcoin Clings To $30K, Ethereum, Dogecoin Dip Despite SEC Nod For Crypto Futures ETF: Analyst Predicts Apex Crypto Target In 'Likely' Capitulation

Major cryptocurrencies slightly tumbled on Sunday evening after a week of heightened interest from traditional financial institutions in cryptocurrencies.

What Happened: Bitcoin experienced a minor dip but remained above the $30,000 threshold. 

In a positive development for the cryptocurrency market, the Securities and Exchange Commission (SEC) has approved the nation’s first leveraged Bitcoin futures ETF offered by Volatility Shares, a Florida-based investment firm. 

The “2x Bitcoin Strategy ETF” will begin trading on Tuesday on the CBOE BZX Exchange, according to the fund’s website. 

However, the ETF will not invest directly in Bitcoin; instead, it will use Bitcoin futures contracts to seek gains from short-term price movements. 

Corresponding to two times the return of the S&P CME Bitcoin Futures Daily Roll index, the ETF marks another step in the increasing institutional adoption of cryptocurrencies. Other investment giants, such as BlackRock and WisdomTree, have also filed applications with the SEC to launch spot Bitcoin ETFs, but the regulator has yet to approve any such proposals.

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At the time of writing, the global crypto market capitalization stood at $1.18 trillion, a decrease of 0.77% over the last day. 

U.S. stock futures displayed a lack of movement, while investors on Wall Street eagerly awaited to see if the market rally could gather more momentum in the final week of June. The futures linked to the S&P 500 and Nasdaq 100 index were observed to be up by approximately 0.2%.

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Analyst Notes: "The use case for cryptos is slowly making progress as JPMorgan has expanded their blockchain-based token to euro payments. Bitcoin is hovering around the $30,000 region and traders are becoming optimistic that a path to $40,000 is forming. With a de-risking moment occurring on Wall Street " said Edward Moya, Senior Market Analyst at OANDA. 

According to crypto analyst Michael Van de Poppe, sees a major bullish signal for Bitcoin on the weekly chart. Both the 200-Week MA and EMA have held, and a new higher low has been established, indicating the potential for a higher high in the near future. 

Despite raw chart patterns, a significant rally before a new correction is expected.

Pseudonymous trader and crypto bear Capo anticipate a downward trend for Bitcoin to hit the $12,000 level and for Ethereum to dip to somewhere between $500-$700. 

"The analysis hasn't changed. Price is still at major resistance and as said before, the movement looks manipulated. A capitulation event is still likely and the main targets remain $12,000 for BTC and $500-$700 for ETH. Altcoins would drop 60-80% on average."

According to analyst Credible Crypto, history may be repeating itself once again. A similar market structure was observed previously when Bitcoin was priced at $10,000 and experienced a significant market surge. This time, Credible Crypto predicts that as long as the BLUE region is maintained, the upward trend is likely to continue, with prices potentially reaching $32,000 or higher.

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