As the end of May approaches, crypto traders are looking forward to a new week filled with a series of potentially impactful macro events. From the Binance trial in Nigeria to the FIT21 bill vote, these events can have a significant impact on the crypto market.
These events could determine the market's next move
The cryptocurrency market has seen significant fluctuations in recent days due to concerns about a possible rise in interest rates. However, Bitcoin prices soared on Thursday, helped by a weaker dollar following moderate consumer inflation data for April. This improved market sentiment, with several crypto assets rising above resistance levels. In this context, several major crypto events are scheduled for next week that could reverse current market trends.
Binance prepares for a big week
A Nigerian court last week rejected Binance executive Tigran Gambariyan's bail application. In the tax evasion case, the court postponed the arraignment to May 22 after the prosecutor filed an amended indictment. In another money laundering case involving Binance and Gambarian, the court adjourned until May 23 at the request of Gambarian's lawyer.
Also read: Binance executive Tigran denies bail in Nigeria on money laundering charges
The first witness, Abdulkadir Abbas of the Nigerian Securities and Exchange Commission, testified in the case. He will be cross-examined by Gambarian's lawyers when court resumes next week.
SEC to decide on Ethereum ETF
The U.S. Securities and Exchange Commission (SEC) is expected to decide on the first Spot Ether ETF application by May 23rd. However, recent filings have raised questions about the approval of Ether ETFs. Legal experts shed light on the filing, suggesting the SEC may classify Ether (ETH) as a security. This classification can have a significant impact on the market.
Experts highlight the main reasons why authorities may approve or reject ETFs. BlackRock CEO Larry Fink said in an interview with CNBC that the SEC could approve a spot ETH ETF even if Ethereum is classified as a security. This statement follows recent disclosures indicating that the SEC has considered ETH as a potential security since April 2023, but still approved an ETH futures ETF in September.
Eric Connor, co-author of Ethereum Improvement Proposal EIP-1559, expressed confidence that the SEC will approve the Spot ETH ETF on May 23rd.
FIT21 bill awaits vote
The House of Representatives is scheduled to vote on the 21st Century Financial Innovation and Technology Act (FIT21) next week, and on Friday, nearly 60 crypto companies signed a letter urging lawmakers to support the bill.
Read more: US crypto market awaits final vote on FIT21 bill next week: What to expect?
On May 16th, the Cryptocurrency Innovation Council took action by signing a letter to members of Congress highlighting the importance of supporting the bill. The FIT21 Act includes key consumer protections such as minimum capital standards, risk disclosure requirements, extended bankruptcy protection, segregation of customer funds, and conflict of interest resolution.
The bill would designate the Commodity Futures Trading Commission (CFTC) as the primary regulator of digital assets, leaving only a few issues under SEC oversight.
The fate of cryptocurrencies depends on Biden's decision
On May 16, 2024, the U.S. Senate approved the Congressional Review Act (CRA) to review the SEC's Staff Accounting Bulletin No. 121 (SAB 121).
Despite rare bipartisan agreement in the Senate, which voted 60-38 in favor of the bill, President Biden said last week that the resolution was on the table after being influenced by Sen. Warren and SEC Chairman Gensler. He threatened to veto the bill if it reached the government. There is nearly a week left until Biden's decision.
