Bitcoin (BTC/USD) price is correcting as the US Commodities and Futures Trading Commission (CFTC) has sued the industry giant Binance. BTC price USD tanked on Monday as the move by the top US regulator against the biggest crypto exchange in the world triggered a panic sell-off.
On Tuesday, Bitcoin kept on trading sideways after last night’s sell-off. At press time, the biggest cryptocurrency was trading at $27,119. This means a 6.1% price decline from the monthly and YTD highs of $28,868.
According to the official press release from CFTC, Binance and its founder Changpeng Zhao willfully evaded US regulations. The charges include the offering of unregistered crypto derivatives like Bitcoin, Ethereum, Litecoin, and USDT to US customers via VPNs.
The correction in BTC/USD comes at a time when the ex-Coinbase CTO and notable entrepreneur Balaji Srinivasan just recently shared his $1 million Bitcoin price prediction. According to the industry veteran, the recent bank failures and the hyperinflation in the US will be the catalyst to put BTC price at $1 million within the next three months.
Despite the ongoing correction, Bitcoin is still 37% up from its monthly lows of $19550. This has been a remarkable recovery from the leading cryptocurrency, which is fueled by global banking concerns. For the first time within the last ten months, Bitcoin price has reclaimed the 25,000 level, which is a sign of good strength.
Considering the following BTC/USD chart, the price appears to be heading for a retest of the $25,000 level. If the price flips this level into support, then bulls can target the $30,000 level next. However, the pullback may get intensified if the price breaks below $25k. In such an event, the price can retest the 200-day moving average, which lies at 20,247 once again.
This post was last modified on Mar 28, 2023, 13:41 BST 13:41