On Thursday (December 26), after Bitcoin rebounded to $99,963, it fell back to the $98,315 level. Hester Peirce, a commissioner of the SEC, known as the 'mother of cryptocurrencies,' stated that starting in 2025, the SEC will temporarily downsize its commissioner team while waiting for Senate approval of President Trump's nominations. She indicated that there will be a significant shift in the agency's stance on the crypto industry in 2025, with a reduction in enforcement actions.
Only Republican commissioners Hester Peirce and Mark Uyeda will continue to serve after their inauguration during the temporary downsizing of the SEC before Trump takes office early next year. According to Peirce, with the departure of current SEC Chairman Gary Gensler, the agency's stance on the crypto industry will undergo significant changes.
According to Blockworks, Peirce stated earlier this month at the Blockchain Association Policy Summit: 'We have a huge toolkit.'
She added, 'We have tended to prefer enforcement as our primary tool, and I believe that when you see new committee changes and composition changes, the case mix will also change.'
Uyeda added that the nature of federal agencies means that some (or in the case of the SEC, most) policy discussions are conducted behind closed doors.
'This is why we create (the Administrative Procedure Act), allowing the public to comment on regulations,' he explained. 'It is our responsibility to the American public to provide this transparency.'
If the guidance issued by agency staff differs from SEC rules, such as SAB 121, there is no need for a public comment period.
In the SAB 121 case, both chambers of Congress chose to override the policy, which required digital asset custodians to report liabilities and 'corresponding assets' on their balance sheets. However, the current President of the United States ultimately vetoed this resolution.
Uyeda hopes the SEC can provide more opportunities for public participation.
Peirce said, 'Making this transition is very difficult because we have come a long way.'
She added directly regarding the crypto industry: 'It will take a lot of effort from us and you to get back on track, but I believe we can do it.'
Bitcoin Price Outlook: Expected to Reach a New High of $150,000 Next Year
FXEmpire analyst Yashu Gola stated that Bitcoin is testing the 1.618 Fibonacci retracement level near $101,000 as resistance, with technical indicators pointing to a possible pullback. A decline could lead Bitcoin to retest the support level of $69,000, consistent with its upward trend line and the neckline of the previously formed inverted head and shoulders (IH&S) pattern.
$69,000 is a critical level as it marks the breakout point of the IH&S pattern at the beginning of 2024. Successfully defending this level can lay the foundation for a strong rebound, targeting the next Fibonacci level of 2.618, close to $150,000.
Overall, the IH&S pattern predicts that Bitcoin's long-term target price will exceed $250,000, indicating significant upside potential if Bitcoin maintains a bullish structure.
However, the short-term market trend depends on the resistance level of $101,000, and whether buyers will step in to defend $69,000 if there is a pullback.
