Bitcoin (BTC) prices rise due to ETF speculation

Art at the Bitcoin 2021 Convention, a cryptocurrency conference held at the Mana Convention Center in Miami on June 4, 2021.

Marco Bello | AFP | Getty Images

Bitcoin Traders speculated that US regulators would liquidate the first Bitcoin futures exchange-traded fund, pushing digital coins to record highs above $ 60,000 on Friday.

According to Coin Metrics, the world’s largest cryptocurrency rose 6% to $ 61,488.41, the highest level since April 17th.

According to analysts, traders are optimistic about the possibility that the US Securities and Exchange Commission will give a green light to the first Bitcoin futures exchange-traded fund. The SEC may allow the first US Bitcoin futures exchange-traded fund to open trading next week. This is a milestone for the crypto industry, which has long sought permission from top Wall Street regulators.

Specifically, the SEC said it is based on futures contracts and is unlikely to block the ETFs proposed by ProShares and Invesco submitted by the SEC Chairman under the Trust Guidelines. Gary Gensler We believe that it will provide significant protection to investors.

ProShares Bitcoin Strategy ETF Scheduled to debut on the New York Stock Exchange On Tuesday, experts believe the SEC is unlikely to oppose the product.

NS CME The October Bitcoin futures contract last traded at $ 60,570, up about 4%.

The approval of ETFs, which give mainstream investors exposure to Bitcoin, will be a breakthrough for the crypto industry, which has long promoted greater acceptance of digital assets on Wall Street.

“ETF news is priced in the market in anticipation of Monday’s approval, which is pushing up prices,” Vijay Ayyar, head of the Asia-Pacific region of crypto exchange Reno, told CNBC.

However, Ayyar warned that rejecting ProShares products could result in a significant drop in Bitcoin.

Mikkel Morch, executive director of digital asset hedge fund ARK36, said Bitcoin could rise to a record high of $ 65,000 from April, but cryptocurrencies will subsequently receive a “short-term withdrawal.” Warned that there is a possibility.

“Investors could turn their expectations of a sustained rise above the $ 60,000 barrier and beyond record highs into a” buy rumors and sell news “scenario, Mochi said. Should be recognized. “

Not all cryptocurrencies have been boosted by Friday’s ETF news. The second largest coin, Ether, rose 0.5% on spot exchanges to $ 3,804. However, both XRP and ada decreased by about 2%.

Bitcoin and other cryptocurrencies are all the rage this year. The number one digital coin hit a record high of over $ 64,000 in April before plunging against the backdrop of crackdowns on the Chinese crypto market. Since then, a comeback has taken place and prices have more than doubled so far this year.

Regulators are taking a stricter policy on cryptocurrencies this year as investor interest soars. But the industry has been fighting. Coinbase Thursday Call on the United States to create a new regulatory agency Oversee digital assets.

Earlier this week, Bank of England Deputy Governor Jon Cunliff Cryptocurrencies warned can cause global financial crisis It’s about the same size as the 2008 crash.

“When something in the financial system is growing very rapidly and growing in an almost unregulated space, financial stability authorities must stand up and pay attention,” Cunliffe said in a speech Wednesday.

Bitcoin (BTC) prices rise due to ETF speculation

Source link Bitcoin (BTC) prices rise due to ETF speculation

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