Bitcoin Price Prediction: Dips to $46,000 Amid SEC Security Flaw & ETF Turmoil

In a market marked by heightened sensitivity to regulatory actions, Bitcoin’s price experienced a notable dip to $46,000, reflecting nearly 1.50% decrease on Wednesday. This latest fluctuation in the world’s premier cryptocurrency comes amid news of a security oversight at the U.S. Securities and Exchange Commission (SEC).

A failure to enable two-factor authentication led to misinformation regarding a Bitcoin ETF. It added to the ongoing turmoil and uncertainty in the digital asset space. This incident underscores the intricate relationship between regulatory dynamics and the volatile cryptocurrency market. Moreover, it further influenced investor sentiment and Bitcoin’s price trajectory.

SEC Account Hacked Due to Absence of 2FA, Triggering Bitcoin ETF Confusion

The U.S. Securities and Exchange Commission (SEC), a key financial regulatory body, recently faced a security issue when their official social media account was hacked. The X Safety team reported that this breach occurred due to a SIM swap attack – a type of hack where the attacker takes over someone’s phone number. Surprisingly, the SEC’s account didn’t have two-factor authentication (2FA) enabled, a basic security measure, which made the breach easier.

Breaking : X confirms a security breach—SEC account hacked due to lack of two-factor authentication.#Crypto#Cryptocurency#SECpic.twitter.com/qQXy9RPjgA

— Bitinning (@bitinning) January 10, 2024

Currently, Bitcoin’s price is around $46,000, amidst ongoing anticipation of actual SEC decisions on Bitcoin ETFs. This incident highlights how sensitive Bitcoin’s price is to regulatory news and the importance of robust security measures in preventing misinformation.

The @SECGov X account was compromised, and an unauthorized post was posted. The SEC has not approved the listing and trading of spot bitcoin exchange-traded products.

— U.S. Securities and Exchange Commission (@SECGov) January 9, 2024

During this attack, the hackers falsely announced that a Bitcoin ETF (Exchange-Traded Fund) had been approved. This misinformation led to a sudden surge in Bitcoin’s price to $47,897, followed by a drop below $45,000 when the SEC clarified that the announcement was fake.

Bitcoin Price Update

In the ever-evolving digital currency market, Bitcoin (BTC/USD) continues to assert its dominance, holding the top position on CoinMarketCap. As of January 10, Thursday, the live price of Bitcoin is $45,768.72, with an impressive 24-hour trading volume of $38.86 billion.

Despite its recent 1.35% decline, Bitcoin’s market capitalization remains robust at approximately $896.80 billion. It’s bolstered by a circulating supply of 19.59 million BTC out of a maximum of 21 million.

Bitcoin Price Prediction

Focusing on the day’s technical landscape, Bitcoin’s pivot point is calculated at $45,721. It currently faces immediate resistance at $46,306, with subsequent barriers at $47,228 and $47,922. On the flip side, support levels are stationed at $45,230, followed by $44,739 and $44,398, which are pivotal in preventing significant declines.

From a technical indicators standpoint, the Relative Strength Index (RSI) for Bitcoin stands at 57. This places it in a relatively bullish sentiment zone, although it is not in the overbought territory (above 70), which could have indicated an impending price correction.

The 50-Day Exponential Moving Average (EMA) sits at $44,708.0, with Bitcoin’s current price above this mark, suggesting a short-term bullish trend.