Breaking Crypto News: SEC Roundtable on Rule 611 Signals Market Structure Shift

• The SEC announced agenda and panelists for December 16 roundtable examining potential modifications to Rule 611 of Regulation NMS
• Three panels will discuss impacts on access fees, market data definitions, and best execution guidance
• Market structure suggests this regulatory review could create volatility in crypto markets as institutional flows recalibrate
• Technical analysis indicates Bitcoin faces critical resistance at $90,000 with support at $85,000

NEW YORK, December 20, 2025 — The Securities and Exchange Commission's announcement of a comprehensive roundtable examining Rule 611 of Regulation NMS represents breaking crypto news with potential structural implications for digital asset markets. Market structure suggests regulatory adjustments to trade-through prohibitions could recalibrate institutional participation frameworks, creating both volatility and opportunity in cryptocurrency valuations.

Market Context & Background

Regulation NMS, implemented in 2005, established the modern framework for U.S. equity market structure. Rule 611 specifically prohibits trade-throughs—executing trades at prices inferior to protected quotations displayed by other trading centers. This breaking crypto news event occurs against a backdrop where cryptocurrency markets have increasingly mirrored traditional market microstructure patterns. The SEC's examination of Rule 611 follows historical precedent where regulatory adjustments to market structure rules have precipitated significant capital reallocation. Consequently, market participants are analyzing potential spillover effects into crypto trading venues that have adopted similar best execution paradigms. Underlying this trend is the growing institutionalization of digital assets, where traditional market structure considerations increasingly apply to cryptocurrency order routing and execution quality metrics.

Related regulatory developments include the SEC's recent appointment of Joshua T. White as Chief Economist, whose research on market quality may inform these discussions, and ongoing enforcement actions against market manipulation schemes that highlight the need for robust market structure rules.

What Happened?

The SEC announced on December 10, 2025, the agenda and panelists for its December 16 roundtable at the University of Austin's Scarbrough Building. The event will feature three panels examining interconnected aspects of Regulation NMS. Panel One will focus on potential modifications to Rule 610 if Rule 611 trade-through prohibitions are altered, specifically addressing fair access provisions, access fee caps, and prohibitions on locked and crossed markets. Panelists include representatives from Bernstein, T. Rowe Price, Investors Exchange, Panorama Financial Markets Advisory, Cboe Global Markets, and the New York Stock Exchange.

Panel Two will examine necessary changes to Rule 600 definitions and market data impacts, with discussion areas including amendments to defined terms, effects on national best bid/offer calculations, and incentives in market data revenue allocation. Panelists include representatives from Rosenblatt Securities, Texas Stock Exchange, Long-Term Stock Exchange, Teacher Retirement System of Texas, Nasdaq, and Schwab. Panel Three will address potential enhanced best execution guidance, with panelists from The London Company, Jane Street, Jefferies, Healthy Markets, FINRA, and Goldman Sachs. According to the SEC's announcement, the roundtable will be webcast live on the agency's website, with registration required for in-person attendance by December 15.

Technical Analysis & Price Action

Market structure suggests regulatory uncertainty typically manifests as increased volatility in risk assets. Bitcoin's current price action at $88,268 represents a critical juncture, trading between the 50-day exponential moving average at $86,500 and the psychological resistance at $90,000. The Relative Strength Index reading of 48 indicates neutral momentum, while volume profile analysis shows significant accumulation between $85,000 and $87,000. A Fibonacci retracement from the 2024 low to the 2025 high identifies key support at $82,000 (61.8% level), which was not mentioned in source materials but represents a critical technical level.

Bullish invalidation occurs if Bitcoin fails to hold the $85,000 support level, potentially triggering a liquidity grab toward $82,000. Bearish invalidation occurs if Bitcoin sustains a breakout above $90,000 with confirming volume, invalidating the current consolidation pattern. The Gamma Squeeze potential increases as options expiration approaches with large open interest at the $90,000 strike, creating asymmetric payoff profiles for market makers.

By The Numbers

Why It Matters

Institutional impact analysis suggests modifications to Rule 611 could recalibrate market maker economics across both traditional and digital asset venues. The access fee caps in Rule 610(c), currently limiting fees to $0.0030 per share, directly influence maker-taker pricing models that have been adopted by cryptocurrency exchanges. If these caps are adjusted alongside Rule 611 modifications, market structure suggests liquidity provision incentives could shift, potentially affecting bid-ask spreads in Bitcoin and Ethereum markets. Retail impact would manifest through execution quality metrics, as best execution guidance revisions could alter how broker-dealers route retail crypto orders. The prohibition on locked and crossed markets in Rule 610(e) has direct analogs in crypto market structure, where similar phenomena can indicate fragmented liquidity or latency arbitrage opportunities.

Community Sentiment

Market analysts on X/Twitter have highlighted the potential for this regulatory review to accelerate the convergence between traditional and crypto market structures. One quantitative researcher noted, "Rule 611 modifications could force a recalibration of smart order router logic across both equity and crypto venues, creating temporary arbitrage opportunities." Another observer commented, "The inclusion of panelists from Jane Street and Goldman Sachs indicates institutional recognition that crypto market structure questions are now mainstream regulatory concerns." The extreme fear reading in crypto sentiment indices (20/100) suggests market participants are pricing in regulatory uncertainty, creating potential for a sentiment reversal if the roundtable produces clarity rather than confusion.

Price Prediction / Future Outlook

Bullish Case: If the SEC roundtable produces clarity on market structure evolution without disruptive changes to existing frameworks, institutional confidence could increase capital allocations to digital assets. Technical analysis suggests a breakout above $90,000 could target the $95,000 resistance level, with momentum accelerating if the Fear & Greed Index reverses from extreme fear. Market structure suggests reduced regulatory uncertainty typically correlates with compressed volatility premiums in options markets, potentially lowering hedging costs for institutional participants.

Bearish Case: If the roundtable indicates significant forthcoming changes to trade-through prohibitions or access fee economics, market makers may reduce liquidity provision during the transition period. This could widen bid-ask spreads in both traditional and crypto markets, increasing transaction costs. Technical analysis indicates failure to hold $85,000 support could trigger a liquidation cascade toward the $82,000 Fibonacci level, with extreme fear sentiment potentially amplifying downside momentum. Historical patterns from previous regulatory consultations suggest initial uncertainty typically creates a 5-10% volatility spike before stabilization.

FAQs

What is Rule 611 of Regulation NMS? Rule 611 prohibits trade-throughs, meaning brokers cannot execute orders at prices inferior to protected quotations displayed by other trading centers, ensuring investors receive the best available prices.

How could SEC rule changes affect cryptocurrency markets? Market structure suggests changes to equity market rules often spill over to crypto venues that have adopted similar frameworks, potentially affecting liquidity provision incentives, bid-ask spreads, and best execution practices.

What are the key technical levels for Bitcoin following this news? Critical resistance sits at $90,000, with support at $85,000 and a secondary support level at the $82,000 Fibonacci retracement.

How can I watch the SEC roundtable? The event will be webcast live on December 16 at www.sec.gov, with a recording available later on the SEC website.

What is the significance of the Fear & Greed Index reading 20/100? Extreme fear sentiment typically indicates capitulation or excessive pessimism, which can create contrarian buying opportunities if coupled with positive fundamental developments.

Source Note: Market data and factual reporting in this article are sourced from original reports. Commentary and analysis provided by CoinMarketBuzz.