Daily Crypto Signals: Bitcoin Surges While XRP Tests Critical $2.30 Resistance as SEC Targets Leveraged ETFs
The crypto market experienced significant developments this week as Bitcoin posted its strongest daily gain since May, climbing above $93K
Quick overview
- Bitcoin experienced its strongest daily gain since May, rising 5.81% to $93,013, indicating a potential trend reversal.
- The SEC issued warning letters to ETF providers regarding excessive leverage, halting applications for leveraged ETFs exceeding 200% exposure.
- Binance appointed co-founder Yi He as co-CEO, aiming to leverage diverse perspectives for growth and innovation.
- The UK legally recognized cryptocurrencies and stablecoins as property, enhancing ownership rights and confidence for crypto holders.
The crypto market experienced significant developments this week as Bitcoin BTC/USD posted its strongest daily gain since May, climbing 5.81% to $93,013, while XRP XRP/USD defended its $2 psychological support level amid a potential trend reversal. Regulatory developments dominated headlines as the SEC issued warning letters to ETF providers over excessive leverage, Binance appointed co-founder Yi He as co-CEO, and the United Kingdom codified property rights for digital assets.
Crypto Market Developments
Three big changes in the cryptocurrency world, both in terms of regulations and businesses, show that the infrastructure of the digital asset industry is getting stronger. The US Securities and Exchange Commission sent warning letters to major ETF issuers like Direxion, ProShares, and Tidal. This effectively stopped applications for leveraged ETFs that offered more than 200% exposure to the underlying assets. The rules that were used in this case came from the Investment Company Act of 1940, which says that investment funds can’t be more than 200% of their value-at-risk compared to an unleveraged reference portfolio. The regulators’ decision to quickly make these warning letters public shows how serious they are about letting people know about their worries about leveraged products after the flash crash in October that caused $20 billion in liquidations, the largest single-day liquidation event in cryptocurrency history.
During Binance Blockchain Week, the company made Yi He, one of its co-founders, co-CEO with Richard Teng. Teng said that the hiring was a natural step forward because He has been an important part of Binance’s executive leadership since it started in 2017. The dual-CEO system tries to use different points of view to its advantage. Teng brings knowledge of regulated financial markets, while He, a crypto native who used to be the chief marketing officer, pushes community growth and product innovation.
In the meantime, the UK made history when King Charles gave royal assent to the Property (Digital Assets etc) Bill. This legally recognized cryptocurrencies and stablecoins as property under UK law. The law makes it clear that digital assets are a separate type of personal property. This follows a 2024 recommendation by the Law Commission of England and Wales. Freddie New, the policy chief for Bitcoin Policy UK, called the change a huge step forward. CryptoUK, on the other hand, said that the law makes it easier to prove ownership and get back stolen assets, giving crypto holders the same level of confidence as people who own traditional property.
Bitcoin Reclaims $93,000
Bitcoin had a very strong day on Tuesday, gaining 5.81%, the biggest daily increase since May 8. The price rose to $93,013. The rally made a bullish engulfing pattern on the daily chart. This was the first big change in structure in the fourth quarter. Technical analysis shows that Bitcoin formed a clear pattern of higher highs and higher lows after Monday’s liquidity sweep below $84,000, which suggests that sellers are losing strength. The breakout happened on high volume, which means that there was real demand from directional buyers and not just a move to seek for stop-losses. This kind of move usually leads to cleaner follow-through because it shows that the market is participating aggressively.
The most important technical milestone right now is for Bitcoin to close over $96,000 every day. This would show that the trend structure has completely changed, not just bounced back. On the four-hour chart, there is now a positive break of structure above $92,300. Once $96,000 is reclaimed on a daily closing basis, the immediate target zones will move toward $102,000–$107,000, where there are still a lot of external liquidity clusters. CryptoQuant data showed that the market’s buy-to-sell ratio rose to 1.17, the highest level since the cycle began in January 2023. The Coinbase Premium Index also moved to a positive value of +0.03 after weeks of selling pressure, which has historically meant that institutional demand has picked up again.
XRP Bounces to $2.19
XRP (XRP) defended its $2 psychological support level this week. After a small liquidity wash on Monday, it bounced back almost 6% to $2.19 on Tuesday. The cryptocurrency has been in a downturn for more than a month, since July. Now it is at a crucial position at the $2.28–$2.30 resistance band, which is the key point for a possible positive continuation. The bounce to $2.17 happened when the price hit the fair value gap just below $2, which was made after the November 21 rebound from $1.80. This shows that buyers are still active in areas where prices are lower, even though the market is generally going down.
If XRP closes above $2.30 every day, it will be the first time since July that the trend has changed. This would indicate a positive break of structure and open the way to the next liquidity cluster at $2.58. According to analysts, XRP’s price behavior in 2025 has been marked by strong fluctuations between pockets of great liquidity. This means that when momentum changes, the asset tends to go too far past intermediate resistance zones. But the market is still split, with most funding rates being negative. This shows that short positioning is the most common type of position in the futures market.
Trader Dom saw indicators of an upcoming reversal. He pointed out that flipping XRP’s chart showed a three-drive fatigue pattern over the previous six weeks. However, he warned that if the current setup fails, acceptance beneath $2 might lead to a bad end-of-year situation. Futures open interest dropped from $8.6 billion to $3.8 billion in the fourth quarter. This means that any directional expansion might happen quickly because there are less positions. This makes the current moment very important for XRP’s future.
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