BTCUSD spent only a few days below the $50k mark, and today it rallied +6.76% and jumped over the limit, trading around $51,800 right now on PrimeBit. Altcoins follow. Ethereum, which lost over 26% in late February is up 8.42% today trading above $1,600 and Litecoin gained 17.6% in the last few days of trading.
After a short term of risk aversion across the assets, investors’ appetite for cryptocurrencies has returned. Investors were concerned about regulatory issues facing digital money in the US.
That’s why bitcoin bulls have been looking forward to Joe Biden’s consultations on how the US Securities and Exchange Commission should regulate digital money. The key event on Tuesday was the confirmation hearing of Gary Gensler, who has been nominated for SEC chairman. During the inquiry, he hinted that more government oversight of cryptocurrencies was coming.
Some form of regulation is necessary for the more widespread adoption of crypto, that’s why bulls treated it as a sign to buy. Gensler also added that he wants to make sure crypto markets are free of fraud and manipulation, which would be a big challenge for the agency.
Gensler served as a Commodity Futures Trading Commission chairman under the Obama administration. As a senior advisor to the MIT Media Lab Digital Currency Initiative, he teaches about digital money and blockchain technology. He has an opinion of a strong advocate for cryptocurrencies.