Can Ethereum Hit $4,000 Amid SEC Investigation?
Market analyst Captain Faibik believes that despite the ongoing scrutiny by the U.S. Securities and Exchange Commission (SEC), Ethereum (ETH) could still reach the $4,000 mark. Faibik’s analysis suggests that ETH’s recent price movements indicate a potential breakthrough.
By studying the candlestick patterns on the four-hour chart, Faibik identified a bullish breakout through a descending wedge pattern, which typically signifies the end of a consolidation phase for an asset. This led Faibik to conclude that Ethereum’s price could soon hit $4,000.
As of now, ETH is trading at $3,468, and a 15.34% increase would be enough to reclaim the $4K threshold. However, just a few weeks ago, Ethereum reached $4,067, one of its highest points in 2021. The recent market correction, primarily driven by Bitcoin, caused ETH’s price to dip below the desired level.
Adding to the uncertainty surrounding Ethereum’s price, the SEC’s investigation into the asset’s classification as a security has caused disruptions. Reports suggest that the SEC has requested financial records from US companies involved in Ethereum transactions, but no official statement has been released by the regulatory body yet.
The implications of the SEC’s investigation have ignited diverse reactions within the crypto community. Anatoly Yakovenko, the founder of Solana, expressed his opposition to the state’s stance against Ethereum. Furthermore, market pundits believe that the SEC’s decision on Ethereum exchange-traded funds (ETFs) applications, which are eagerly awaited, could also impact ETH’s price. It is worth noting that the SEC recently deferred its decision on Grayscale Futures ETF.
While the future remains uncertain for Ethereum amid regulatory scrutiny, it is important to approach such information with caution. This article does not provide financial advice and readers should exercise discretion before making any investment decisions.