Bitcoin Drops Following SEC Spot ETF Delay

Bitcoin (BTC) is yet again subject to regulatory forces at play as the United States Securities and Exchange Commission (SEC) postpones the approval of Bitcoin spot exchange-traded funds (ETF) for several investment behemoths.

It is generally expected across the crypto community that such a move would bring more institutional and retail money into the world's most popular digital currency.

BTCUSD - 1 Week Time Frame

In the broader context of the overall price action, Bitcoin has had some attempts to break above the $30,000 mark earlier this year, but it failed to do so.

Following BlackRock’s filing, Bitcoin bumped back up to $30,000 and has held that level for roughly three weeks. At the end of August, Bitcoin was seen hovering above the $28,000 mark, trying to retest the resistance at $30,000. 

The SEC’s delay in its decision on all Bitcoin ETF applications dampened the mood on the market. The bearish pressure extended further into mid-September and saw the BTC price breaking below the crucial psychological $25,000 mark. This was the first occurrence where Bitcoin visited this level since mid-June, when BlackRock’s spot BTC ETF filing led to a rally in BTC’s price.