Bitcoin Price Holds $27K, But Forecast Says ‘Correction Coming’
Bitcoin (BTC) attempted to rescue $27,000 support on March 28 as the dust settled on US regulatory action against the Binance cryptocurrency exchange.
Binance CEO dismisses ‘disappointing’ complaint
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD repeatedly testing the $27,000 mark overnight.
The pair had seen downward volatility the day before when news broke that Binance was at the center of a civil complaint from the Commodity Futures Trading Commission (CFTC).
The move unsettled markets, with commentators well aware of crypto firms previously targeted by authorities in the wake of the FTX debacle.
In a dedicated response to the complaint, Binance CEO Changpeng Zhao denied the allegations.
“Today, the CFTC filed an unexpected and disappointing civil complaint, despite our cooperation with the CFTC for over two years,” he began.
“On initial review, the complaint appears to contain an incomplete recitation of facts, and we disagree with the characterization of many of the issues alleged in the complaint.”
Related: US law enforcement agencies turn up the heat on crypto-related crime
Bitcoin still managed to avoid significant losses, with analyst resource Skew suggesting that it was Binance holding up support in an otherwise jittery market.
“The market wants to puke here but offers walls on binance spot to prevent it and attracts more perp longs it seems,” in summary.
“Solid bidding depth between USD 26,000 – USD 24,000.”
Trader Crypto Tony, meanwhile, added that BTC/USD had succeeded in holding its short-term trading range.
For trading resource Stockmoney Lizards, however, there was little to be optimistic about on short time frames.
“Short-term TA update (2h TF): Rounding top, falling RSI, paired with Binance FUD,” part of the Twitter commentary tired.
“Smells like a correction is coming.”
Binance vs. CFTC: Just a Fine?
Continuing the Binance debate, not everyone was concerned that the exchange would face significant upheaval in the long term.
Related: Will BTC Drop the Bear Market? 5 things to know in Bitcoin this week
“Today’s Binance event is a short-term event. In the long run it doesn’t matter,” trader Pentoshi wrote in part of a Twitter post Update.
“Crypto has been through hundreds of R&D events, like Bitfinex, exploits, China bans, lawsuits, insolvencies, you name it. And yet the market and new entrants always come back. At the end of the day, it’s all just opportunity and $BTC continues to change hands.”
Trader, analyst and podcast host Scott Melker, known as the “Wolf of All Streets”, referred to one Cointelegraph article that had predicted regulatory fines for Binance.
“Binance has openly prepared for a regulatory effort,” he agreedand describes a fine as the “most likely outcome” of the proceedings.
The views, thoughts and opinions expressed herein are those of the authors alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
