Bitcoin, Ethereum, Dogecoin Rally Thanks To Grayscale, Elon Musk: Analyst Says, 'Real Fear Of Missing Out' Coupled With Panic, Disbelief Starts After King Crypto Moves Past 30K

Major cryptocurrencies enjoyed a bullish rally on Tuesday evening following a favorable court ruling in favor of Grayscale Investments (GBTC) over the Securities and Exchange Commission (SEC). The court decision pertained to Grayscale’s application for a bitcoin exchange-traded fund (ETF).

What Happened: The Grayscale Bitcoin Trust GBTC experienced its most active trading session in 14 months following a court ruling that increased the possibility of converting GBTC into an ETF, attracting a wider range of investors. 

Throughout the day, nearly 20 million GBTC shares were traded, marking the highest level since the crypto market crash in June 2022, as reported by Yahoo data. As a result of this increased trading activity, the share price surged by 18%, reaching almost $21, the highest level since Bitcoin reached $31,000 in mid-July.

Elon Musk-owned X, formerly known as Twitter, is making advancements towards enabling cryptocurrency payments within its platform. Recently, X obtained a Rhode Island Currency Transmitter License on Tuesday, as confirmed by NMLS data. With this license, X has the authority to store, transfer, or exchange digital assets on its platform and can even hold these assets on behalf of its users. With nearly 450 million active users, X is now in a prime position to introduce cryptocurrency payment services.

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Currently, the global crypto market capitalization stands at $1.10 trillion, a 3.98% increase in the last day.

The Nasdaq Composite surged over 1% on Tuesday, as investors returned to the tech sector in the last few days of a challenging August for the market. The S&P 500 also experienced a notable climb of 1.45%.

See More: Best Crypto Day Trading Strategies

Analyst Notes: Crypto analyst Michael Van De Poppe said both the Bitcoin ETF and the bull market may be closer than anticipated. 

"Sometimes the markets feel heavily ‘manipulated’. Sometimes the markets are heavily skewed towards sentiment and that sentiment can switch easily," he said.

What to expect from the markets? "Substantial chances that the low are in, as the markets are still holding above the 200-Week EMA. Bitcoin dominance bounces upwards as the interest is currently massively skewed towards Bitcoin and not towards altcoins," he added.

Pseudonymous Crypto analyst CrediBulll Crypto predicts that the true fear of missing out (FOMO), panic, and disbelief will ensue once the price of Bitcoin surges above the 29-30k mark. 

"The real fomo, panic, and disbelief starts once we break back above 29-30k," the analyst said.

Santiment, the on-chain data analytics firm, reported that following Grayscale’s success against the SEC, the cryptocurrency markets experienced a significant uplift. Surprisingly, the cryptocurrency that emerged as the biggest beneficiary was Bitcoin Cash, which enjoyed enhanced exposure. This phenomenon mirrors what occurred in mid-June when the news about the ETF initially broke.

Photo by CMP_NZ on Shutterstock

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