Daily Digest 10/1

Insight on the biggest news and charts that provide context for whats going on in the market today.

The SEC continues to delay their decisions on the over 20 applications that they have now filed with since November of 2020.
This time they have delayed 4 applications to as late as Christmas eve. We also saw that yesterday the house of representatives also delayed their decision.
ETFs are a security or basket of securities that is pegged to the price of an underlying asset which in this case would be cryptocurrencies.
The SEC is hesitant to make a decision on this because the volatility of the crypto market could put investors at greater risk of losing money.
ETF approval would increase the exposure of the crypto market not only to institutions but also to the broader retail community.

After China banned crypto for the 5th time the focus was shifted to Jerome Powell and the Federal Reserve on what they were going to do with looming crypto regulations.
The good news is that the US has no intention on banning cryptocurrencies; however, they will focus even more on regulating stablecoins.
Jannet Yellen responded to a question that criticized the lack of clarity surrounding the space by saying that the IRS is in the middle of releasing a detailed regulatory guideline.
The issue of privacy concerns came up as well. The IRS is trying to crack down on everyone and is trying to enact a regulation for banks that will force them to report all transactions over $600.

The US had a large debt issue before the pandemic had arrived and after a year and a half of printing money Fitch ratings agency says the US could be in danger of losing its “AAA” rating.
If we were to lose that rating it could move investors the wrong way as it would not be the most promising news for the countries future. Investors could choose to take on less risk in that case.
If they take on less risk than one of the first markets that could be affected is the crypto market because of its inherent volatility.
“ ‘ Fitch believes that the debt limit will be raised or suspended in time to avert a default event, but if this were not done in a timely manner, political brinkmanship and reduced financing flexibility could increase the risk of a U.S. sovereign default,’ the agency said.”

Even through the FUD of the China bans, Evergrande, or the US infrastructure bill social media sentiment around Bitcoin has stayed fairly positive even with a drop in overall social volume.
September has always been a month that saw BTC trend sideways or even down but far from a crash. It is nice to see a little October pump to start the month as well.

Cardano Secures $100,000,000 Investment To Rapidly Expand DeFi and NFT Solutions