- Bitcoin price remained stuck at the key support at $26,000.
- Tokens like XDC Network, Avalanche, and Curve DAO jumped.
- Focus will be on key economic data and SEC Bitcoin ETF
Cryptocurrency prices were relatively mixed on Tuesday morning as investors waited for two important news. Bitcoin was stuck at $26,000 while Solana dropped slightly to $20. Ethereum, Tron, and Polkadot remained in a tight range. On the other hand, XDC Network, Curve DAO Token, and Avalanche rose by over 3%.
Bitcoin ETF news ahead
The biggest catalyst for Bitcoin, Solana, Ethereum, Tron, and other cryptocurrencies will be the decision by the SEC about Bitcoin ETF. Precisely, the agency will deliver its decision on ETF applications by several companies like Bitwise, Blackrock, VanEck, and WisdomTree.
Analysts expect the decision will come as soon as Friday this week. In it, the agency has three choices: delay, approve, or deny. Most analysts believe that the most likely outcome will be to delay the decision. Such a move will have a muted impact on Bitcoin and other altcoins.
A denial, on the other hand, will likely have a negative impact on crypto prices. If it gives the go-ahead, we could see Bitcoin price jump back to over $30,000. A Bitcoin rebound will also lead to more gains by other altcoins like Solana, Polkadot, and Cardano.
In Bitcoin’s case, the rally will happen as investors anticipate more BTC purchases by these companies. In a recent statement, Tom Lee of FundStrat said that BTC could jump to $150k if the ETF is approved. Other altcoins will rise as they anticipate that companies will launch similar ETFs.
I believe that the initial gains will be limited as we saw when the SEC approved the Bitcoin Futures ETF (BITO).
Read more: How to buy Solana.
Key economic data ahead
Bitcoin and other cryptocurrency prices will react to several important economic data from the United States. On Tuesday, the Conference Board will publish the latest Consumer Confidence data. Economists believe that confidence remained high in August as inflation slipped.
The Bureau of Labor Statistics (BLS) will publish the latest JOLTs jobs vacancies data. Economists see the vacancies coming in at over 9.5 million. These numbers will come a few days ahead of the latest US non-farm payrolls (NFP) data.
Other crucial data to watch will be US GDP and PCE numbers, which will come out on Thursday and Friday, respectively.
These numbers are important because they will help to determine the next price action by the Federal Reserve. In his statement at the Jackson Hole Summit, Jerome Powell said that the bank could continue hiking rates in the coming months.
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