Bitcoin has regained its footing Tuesday, trading back above $7,000 as traders look to halt the recent selloff.
After logging its eighth losing session in the last nine on Monday, bitcoinBTCUSD, -0.09% last changed hands at $7,100.13, up 2.6% since Monday 5 p.m. Eastern Time on the Kraken crypto exchange.
After a tough start to August for digital currency owners, participants have shifted their focus to a potential decision on the VanEck and SolidX application for a bitcoin-related exchange-traded-fund.
The first date to watch is Aug. 10, which is 45 days since the Securities and Exchange Commission filed a notice on the proposal and when the time in which it would file a response runs out. However, the SEC has said it can push out this response period to 90 days “if it finds such longer period to be appropriate.”
Either way, the crypto community has it on their radar. “The ETF decision is going to be the next catalyst for the market,” said Charles Hayter, co-founder of CryptoCompare. “There’s a lot of uncertainty around the decision, but also a lot of hope.”
Hayter added that the selloff has found its feet around the $7,000 and traders are now in a “wait and see” mode.
Despite the anticipation, some pundits believe a decision in favor of an ETF won’t come until 2019. Brian Kelly, founder and CEO of BKCM LLC, an investment firm focused on digital assets, told MarketWatch in July that a decision in 2018 is unlikely.
Altcoins and futures look to bounce back
Bitcoin futures are trading higher Tuesday. The Cboe Global Markets Inc.’s August contract XBTQ8, -0.20% is trading 2.7% higher at $7,105 and the CME Group Inc.’s August contract BTCQ8, -0.55% is up 2.5% at $7,090.
Altcoins, which are smaller coins alternative to bitcoin, are mostly higher in Tuesday. Ether ETHUSD, +0.53% is up 1.2% to $408.15, Bitcoin CashBCHUSD, -0.56% is trading up 2.4%, at $705.50, Litecoin LTCUSD, +0.05% is up 1.4% at $74.55 and Ripple’s XRP XRPUSD, +3.14% is bucking the trend, trading down 2.8% at 41 cents.