• Bitcoin remains stuck in its 3-week rangebound pattern

• Binance’s CEO pleads guilty to anti-money laundering violations

• Cryptos’ seem unhindered by another regulatory crackdown

• Ethereum breaks above important trendline

Cryptos exhibit remarkable resilience

In 2023, Bitcoin’s trajectory has been characterized by periods of consolidation and low volatility usually followed by breakout moves. Currently, the king of cryptos appears to be in the former phase, trading just a tad below its 2023 high and the $38,000 psychological level.

The latest sideways pattern has not been disrupted after a series of softer-than-expected macroeconomic releases from the US, which solidified that the Fed is done with raising interest rates, thus propelling risk-sensitive assets higher. More interestingly, despite the initial slide, Bitcoin emerged unscathed from the resignation of Binance Holdings’ CEO Changpeng Zhao on the back of money laundering infringements.

This development comes as a huge surprise given that much of the 2022 capitulation in crypto prices was attributed to a series of systemic failures, with the most prominent being the collapse of FTX. So, if neither macroeconomic and idiosyncratic risks can move crypto prices, what’s behind the latest rally?

Why could be different this time?

Considering that Bitcoin has been immune to the latest round of regulatory concerns, someone could argue that market participants are becoming more bullish on the long-term prospects of the sector. As Wall Street behemoths such as BlackRock, Fidelity and others are starting to be deeply involved in the spot-Bitcoin ETF market, investors seem to be perceiving the SEC’s latest actions as a serious effort to regulate the sector.

Apart from the persistent crackdown on Binance, on Monday, the SEC sued another crypto exchange, Kraken, alleging that it operates as an unregistered securities platform. These latest moves could indicate that in order to give approval to ETFs that track the spot performance of cryptos, the SEC plans to set up a clear framework, where every firm will be held accountable for violating laws.

Overall, it seems that with the involvement of respectable financial institutions, investors have become more confident about the long-term outlook of the sector. However, there are many steps to be taken until we finally see the supposed surge in institutional demand.

Ethereum joins the ETF party

Earlier in November, Ethereum reclaimed the $2,000 psychological mark for the first time since July following BlackRock’s Ethereum ETF filling. Despite experiencing a pullback, its price violated a crucial downward sloping trendline that connects its recent lower highs on Wednesday as the latest developments seem to be in favour of the eventual approval of spot cryptocurrency ETFs.

If buying pressures intensify, ETHUSD could challenge the six-month peak of $2,136. A break above that region may trigger an advance towards the $2,200 hurdle.

On the flipside, bearish actions could send the price to test the November support of $2,013. Even lower, the $1,930 barrier could provide downside protection.