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Introduction: Where Are We in the Crypto Cycle?

Cryptocurrencies have been a hot topic for a while now. Many people are curious about where we are in the crypto cycle and if the momentum can continue. In this article, we’ll explore factors that influence long-term crypto growth, such as macroeconomic trends, regulatory shifts, and evolving use cases.

Crypto Prices and Market Trends

The prices of major crypto assets like Bitcoin and Ethereum have been moving in a broad range since March 2024. Some believe that the peak for this cycle happened in the first half of 2024. Here are a few reasons why:

1. Market Entrants: There haven’t been enough new people entering the market. Even with new spot Bitcoin and Ethereum ETFs, long-term holders have been selling.
2. Policy Easing: The big policy changes that helped the 2020/21 rally were due to the global pandemic, a rare event.
3. End-User Demand: There’s not enough demand from regular users through consumer applications, especially compared to the large supply of blockspace created by new scaling solutions.

These arguments make some sense but don’t fully consider all the risks for the next one or two years. Although nothing is certain, many factors suggest that crypto can still grow.

Global Monetary Policy and Crypto

Monetary policy, or how central banks manage money supply and interest rates, affects crypto. Over the past two years, developed markets have seen tight monetary policy, with high short-term interest rates. However, things are changing in 2024. For example, the European Central Bank and the Bank of Canada have cut rates, and interest rate markets are showing a more dovish outlook.

Interest Rates and the USD

The US has had higher interest rates compared to other major economies. This has kept the USD strong. But as interest rates may start to drop, the USD could weaken. If this happens, crypto prices might rise against the USD.

Central Bank Policies

Along with high interest rates, many central banks have reduced their balance sheets to fight inflation. This has led to high long-term real interest rates, negatively affecting housing markets. As central banks become more confident that inflation is under control, they might slow down the reduction of their balance sheets. This could lead to lower long-term real interest rates, another positive factor for the crypto cycle.

Asset Prices and Financial Crises

Policymakers have learned that they cannot allow systemically-relevant asset prices like housing, stocks, and bonds to fall unchecked. Falling asset prices can lead to financial crises, as seen in the 2008 crisis. Policymakers will likely ease policies aggressively if asset prices fall too much, which can benefit crypto. Bitcoin, for example, gains value as an asset outside the traditional financial system.

Improving Regulatory Environment

The regulatory environment for crypto in the US is improving. The upcoming US elections could further improve the situation, with prediction markets favoring the Republican party. They support crypto-friendly policies, such as self-custody of digital assets and Bitcoin mining. Even if the predictions are wrong, crypto might not become as partisan an issue as it was in 2022.

Stablecoin Legislation

Stablecoins are also getting attention. The next session of Congress might address stablecoin legislation. Stablecoins, like Tether, have grown significantly, with Tether owning almost $100 billion in US Treasury assets. This demand for US Treasuries from stablecoin issuers helps support the US economy.

Global Regulatory Climate

Beyond the US, other countries are also becoming more crypto-friendly. For instance, Hong Kong’s regulatory climate has become more supportive over the past year. There is also a possibility that China might lift its ban on crypto. If the US declares Bitcoin a strategic asset and supports USD-backed stablecoins, China might follow suit.

Crypto Infrastructure and Applications

Some people worry that the focus on infrastructure development in crypto is hurting the development of popular end-user applications. Recent Ethereum layer-2 launches are an example. Critics say this is fragmenting liquidity and causing a “vibecession” in the community.

Historical Concerns

Concerns about the state of crypto development are not new. In the 2020-2021 bull market, the high cost of blockspace was a major issue. Before that, scalability solutions were heavily criticized. However, these concerns often prove temporary and don’t affect long-term trends.

Future Applications

Despite current worries, the abundance of blockspace today provides a good environment for new applications to emerge. Prediction markets, for example, are becoming more popular as people use them to track outcomes like the US presidential election. This is more useful than traditional opinion polls.

Stablecoins and Growth

Stablecoins are growing rapidly and benefiting from the current scaling infrastructure. The market capitalization of stablecoins is over $160 billion, almost 80 times what it was five years ago. However, this is still a small fraction compared to major economies’ money supply. With more regulatory clarity, stablecoins can take advantage of the available blockspace to support global payment networks.

Cycle Timing Tools and On-Chain Data

Some concerns about the crypto cycle rely on on-chain data and cycle timing tools, especially for Bitcoin. One common metric is the market capitalization to realized capitalization ratio (MVRV). This shows the difference between the last market price and the price at which coins were last bought. However, as Bitcoin’s use cases expand, the relevance of these metrics may decrease.

Bitcoin and Ethereum ETFs

The introduction of ETFs for Bitcoin and Ethereum allows these assets to be used in broader portfolio strategies. This can increase transaction frequency and reduce the effectiveness of on-chain cycle timing metrics.

In summary, while some believe that the crypto cycle might have peaked, many factors suggest continued growth. Macroeconomic trends, regulatory shifts, and evolving use cases all point to a bright future for crypto. As the market continues to develop and adapt, it’s essential to stay informed and consider all aspects influencing the crypto cycle.

El Salvador’s Proposal to Use Cryptocurrency for Trade with Russia

Introduction

El Salvador has proposed a new way to settle trade with Russia: using cryptocurrency. This Central American nation wants to use digital currency instead of traditional financial systems. They are also interested in joining the BRICS bloc and might apply for membership in the next one or two years.

Ukraine-Russia Conflict Echoes in Central America

El Salvador has proposed using cryptocurrency to settle trade with Russia, according to Alexander Ilyukhin, the First Secretary of the Russian Embassy in Nicaragua. This move aims to help El Salvador overcome the challenges of its dollarized economy. El Salvador’s proposal comes amid the ongoing conflict between Russia and Ukraine. Ukrainian leader Volodymyr Zelensky has been urging El Salvador to support Kyiv against Russian forces. However, El Salvador’s government remains neutral and is focused on establishing trade ties with Russia.

Cryptocurrency as an Alternative Payment Method

Alexander Ilyukhin stated that El Salvador has difficulties with financial calculations because their official currency is the US dollar. As an alternative, El Salvador offers to use cryptocurrency for trade operations with Russia. This innovative approach could help both countries bypass traditional financial systems and avoid Western sanctions. The proposal highlights El Salvador’s interest in modernizing its trade practices and adopting digital currency for international trade settlements.

Challenges of a Dollarized Economy

El Salvador’s economy uses the US dollar as its official currency, which poses challenges in international trade. Traditional financial systems often involve complicated processes and can be influenced by external factors like sanctions. By using cryptocurrency, El Salvador aims to simplify these processes and avoid the restrictions that come with using the US dollar. This could make trade with Russia more straightforward and beneficial for both nations.

El Salvador’s Neutral Stance in the Russia-Ukraine Conflict

While the Russia-Ukraine conflict continues, El Salvador has chosen to remain neutral. Ukrainian leader Volodymyr Zelensky has called for El Salvador to support Ukraine, but the Central American nation is more interested in maintaining neutrality and developing trade relations with Russia. This neutral stance allows El Salvador to explore new economic opportunities without getting involved in the geopolitical tensions of the conflict.

Interest in Joining the BRICS Bloc

El Salvador has expressed a desire to join the BRICS bloc, a group of emerging economies that includes Brazil, Russia, India, China, and South Africa. Alexander Ilyukhin revealed that El Salvador might formally apply for BRICS membership within a year or two. Joining the BRICS bloc could help El Salvador attract foreign investment and gain economic independence from the US and the World Bank. The BRICS countries represent a significant portion of the world’s economic power, and membership could provide El Salvador with new opportunities for growth and development.

Attracting Foreign Investment

El Salvador’s interest in joining the BRICS bloc is driven by a desire to attract foreign investment. By becoming part of this group, El Salvador hopes to bring in investment from BRICS countries, which could boost its economy and create new job opportunities. The country is looking to diversify its sources of investment and reduce its reliance on traditional financial institutions like the World Bank.

Overcoming Challenges with Traditional Financial Systems

Traditional financial systems often involve complex processes and can be affected by international sanctions. El Salvador’s proposal to use cryptocurrency for trade with Russia aims to overcome these challenges. By adopting digital currency, El Salvador can streamline its trade operations and avoid the complications associated with using the US dollar. This innovative approach could set a precedent for other countries facing similar challenges in international trade.

Potential Benefits of Cryptocurrency in Trade

Using cryptocurrency for trade settlements offers several potential benefits. First, it can reduce transaction costs by eliminating the need for intermediaries like banks. Second, it provides greater transparency and security, as blockchain technology ensures that all transactions are recorded and cannot be altered. Third, it allows for faster and more efficient cross-border transactions, which can enhance trade relations between countries. For El Salvador, these benefits could translate into a more robust and resilient economy.

Creating a Bank to Handle Trade Settlements

When asked if using the two countries’ respective currencies to settle trades is an option, Alexander Ilyukhin mentioned that creating a bank to handle these transactions is possible. However, this route could expose traders to Western sanctions. By using cryptocurrency, El Salvador and Russia can avoid these sanctions and ensure that their trade relations remain unaffected by external pressures. This approach also aligns with El Salvador’s goal of achieving greater financial independence.

The Role of Cryptocurrency in Modernizing Trade Practices

El Salvador’s proposal to use cryptocurrency for trade with Russia reflects a broader trend of digital transformation in international trade. As more countries explore the use of digital currencies, traditional financial systems may need to adapt to these changes. For El Salvador, adopting cryptocurrency represents an opportunity to modernize its trade practices and position itself as a forward-thinking economy. This move could also encourage other countries to consider similar approaches to enhance their trade operations.

Implications for International Trade Settlements

If El Salvador’s proposal to use cryptocurrency for trade with Russia is successful, it could have significant implications for international trade settlements. Other countries may follow suit, adopting digital currencies to simplify their trade processes and avoid the challenges associated with traditional financial systems. This shift could lead to a more decentralized and efficient global trade system, with cryptocurrency playing a central role in facilitating cross-border transactions.

Economic Independence from the US and the World Bank

By proposing to use cryptocurrency for trade with Russia and seeking membership in the BRICS bloc, El Salvador aims to achieve greater economic independence from the US and the World Bank. This move reflects a broader desire to diversify its economic partnerships and reduce its reliance on traditional financial institutions. For El Salvador, achieving economic independence is crucial for its long-term growth and stability.

Future Prospects for El Salvador

El Salvador’s innovative approach to trade and its interest in joining the BRICS bloc indicate a forward-thinking strategy for its future. By embracing cryptocurrency and seeking new economic partnerships, the country aims to position itself as a leader in digital finance and international trade. These efforts could help El Salvador achieve sustainable economic growth and enhance its global standing.

Conclusion

El Salvador’s proposal to use cryptocurrency for trade with Russia represents a bold step towards modernizing its economy and achieving greater financial independence. By adopting digital currency, the country aims to overcome the challenges of its dollarized economy and simplify international trade processes. Additionally, its interest in joining the BRICS bloc reflects a desire to attract foreign investment and reduce reliance on traditional financial institutions. As El Salvador continues to explore these innovative approaches, it could set a precedent for other countries looking to enhance their trade operations and achieve economic independence.

Bitcoin is currently dominating the crypto market, even with the recent launch of Ethereum ETFs. Bitcoin’s market share has surpassed 53% of the total crypto market, the highest it has been in three years. This surge in Bitcoin’s dominance is surprising, especially since altcoins usually perform better than Bitcoin during bull markets.

Bitcoin’s Market Position

According to CoinGecko data, Bitcoin’s market cap stands at $1.27 trillion. In comparison, the total crypto market cap is $2.43 trillion. Ethereum, the second-largest cryptocurrency, holds 15.9% of the market, with a market cap of $389 billion. This means Bitcoin is the most dominant force in the crypto market.

Altcoins Struggle

The increase in Bitcoin dominance this year is unusual because altcoins, like Ethereum and Cardano, typically thrive in a bull market environment. Meme coins made a strong comeback during Bitcoin’s surge to all-time highs earlier this year. However, the so-called “wealth effect” was not as thoroughly enjoyed by altcoins in the middle of the pack.

ETF Flows and Market Dynamics

Meltem Demirors, former chief strategy officer at CoinShares, noted that ETF flows are fundamentally altering market dynamics. On Twitter, she wrote that BTC gains no longer cycle into altcoins and the longer tail of crypto assets. This shift in market dynamics has impacted the performance of altcoins.

Tether’s Market Cap Growth

Bitcoin’s dominance continues even as Tether (USDT), the world’s largest stablecoin and the third-largest cryptocurrency after Bitcoin and Ethereum, sees steady growth in its market cap. Stablecoins like Tether are backed by fiat currencies and are excluded from some measures of Bitcoin dominance due to their fundamentally different value models.

Ethereum Spot ETFs and Market Impact

Despite the launch of Ethereum spot ETFs last week, Bitcoin’s dominance remains strong. The launch ironically led to a sell-the-news event and net outflows from the new investment products since going live. This outcome contradicts predictions from K33 Research, which anticipated that ETFs would catalyze growth for Ethereum over the next five months.

Preparing for an Altcoin Rally

Despite the recent underperformance of altcoins, there are signs that they might be ready for a comeback soon. CryptoQuant CEO Ki Young Ju mentioned that whales are preparing for the next altcoin rally. He pointed out that limit buy orders for non-Bitcoin and Ethereum assets are increasing. A chart shared by the executive showed the cumulative buy-sell volume difference has been rising over the past several months.

Buy/Sell Orders and Market Resistance

CryptoQuant explained that the indicator measures the difference between buy and sell orders over a year. A buy/sell order is a pre-set demand to buy or sell a cryptocurrency if it reaches a certain price level, creating levels of resistance and support. If the trend is going up, it means more people are placing buy orders, showing strong interest in buying.

Bitcoin’s Market Cap and Crypto Market Comparison

Bitcoin’s market cap of $1.27 trillion significantly impacts the overall crypto market. With the total crypto market cap at $2.43 trillion, Bitcoin’s dominance highlights its strength. Ethereum, with its market cap of $389 billion, occupies 15.9% of the market, showcasing the disparity between Bitcoin and other cryptocurrencies.

Meme Coins and the Wealth Effect

Meme coins have had a notable impact on the crypto market this year. During Bitcoin’s surge to all-time highs, meme coins like Dogecoin and Shiba Inu saw significant gains. However, the wealth effect, where investors feel wealthier and spend more, was not as impactful for other altcoins like Ethereum and Cardano.

ETF Flows and Their Influence

The introduction of ETFs has changed how money flows within the crypto market. Meltem Demirors highlighted that ETF flows are altering market dynamics. Previously, gains from Bitcoin would often flow into altcoins. However, this is no longer the case, affecting the performance and growth of altcoins.

Tether’s Role in the Market

Tether (USDT) plays a crucial role in the crypto market. As the largest stablecoin, it provides stability due to its backing by fiat currencies. Tether’s growing market cap, even amidst Bitcoin’s dominance, shows the importance of stablecoins in the overall market. They offer a different value model and are excluded from certain measures of Bitcoin dominance.

The Impact of Ethereum Spot ETFs

The launch of Ethereum spot ETFs was expected to boost Ethereum’s market performance. However, the actual outcome was a sell-the-news event, leading to net outflows from the new investment products. This result was contrary to K33 Research’s predictions, which had anticipated growth for Ethereum over the next five months due to the ETFs.

Signs of an Upcoming Altcoin Rally

Despite the challenges faced by altcoins recently, there are positive signs for a potential rally. CryptoQuant CEO Ki Young Ju observed that whales are preparing for an altcoin rally. The increase in limit buy orders for non-Bitcoin and Ethereum assets indicates growing interest and potential for a resurgence in the altcoin market.

Understanding Buy/Sell Orders

Buy and sell orders play a vital role in the crypto market. A buy/sell order is a pre-set demand to buy or sell a cryptocurrency at a specific price level. These orders create levels of resistance and support, influencing market trends. CryptoQuant’s analysis showed that the cumulative buy-sell volume difference has been rising, indicating strong interest in buying.

Market Resistance and Support Levels

Resistance and support levels are critical concepts in trading. Resistance is a price level where selling pressure prevents the price from rising further, while support is a level where buying pressure prevents the price from falling further. The analysis of buy and sell orders helps identify these levels, providing insights into market trends and potential movements.

What’s Next?

Bitcoin’s dominance in the crypto market has reached a three-year high, even with the recent launch of Ethereum ETFs. Despite the stronger performance of Bitcoin, there are signs that altcoins might be poised for a rally soon. The increasing interest in non-Bitcoin and Ethereum assets, as indicated by rising limit buy orders, suggests that the altcoin market could see significant growth in the near future.

Overall, while Bitcoin remains the most dominant force in the crypto market, the dynamics are continuously changing. The impact of ETFs, the role of stablecoins like Tether, and the potential for an altcoin rally all contribute to the evolving landscape of the cryptocurrency market. As investors and analysts continue to monitor these trends, the future of Bitcoin and altcoins will be shaped by these ongoing developments.

Mt.Gox Creditors Reclaim 59,000 Bitcoin Via Exchanges

After more than ten years of waiting, creditors of the now-defunct Mt. Gox Bitcoin (BTC) exchange are finally receiving their long-awaited payouts. Data from research firm Glassnode shows that, as of Tuesday, 59,000 of Mt. Gox’s 142,000 BTC have been distributed to creditors through the Kraken and Bitstamp exchanges. Another 79,600 BTC will be distributed soon.

Recovered Bitcoin Distribution

Glassnode’s recent report states that the total recovered coin volume from Mt. Gox amounts to over 141,686 BTC. Out of this, nearly 59,000 BTC have already been given to creditors, with the remaining amount awaiting distribution. Kraken has received 49,000 BTC, while Bitstamp has been entrusted with an initial tranche of 10,000 BTC. These two exchanges are among the five designated to manage and distribute these funds.

Selling Pressure and Market Impact

Glassnode noted that the size of these distributions is already larger than recent significant cryptocurrency transactions, including crypto ETF inflows, issuance to miners, and the massive selling pressure experienced by the German government between June and July. However, many creditors opted to receive BTC instead of fiat currency. This choice, made possible under Japanese bankruptcy law, indicates that many creditors remain active in the Bitcoin space despite the lengthy legal process.

Long-Term Holding Strategy

Glassnode’s analysis suggests that only a portion of the distributed coins will be sold on the market. This indicates a long-term holding strategy among creditors, which could support BTC’s price rather than causing it to decline. The spot cumulative volume delta (CVD) metric on Kraken and Bitstamp shows only a slight increase in sell-side pressure, further suggesting that creditors might hold onto their BTC for the long term.

Long-Term Bitcoin Holders and Market Trends

The price of Bitcoin has rebounded by nearly 25% after hitting a six-month low of $53,500 on July 5. This recovery is partly due to long-term holders of Bitcoin going on a buying spree. According to market expert Ali Martinez, these investors have added over 110,000 BTC to their portfolios.

Bitcoin ETF Market Inflows

The Bitcoin ETF market has also seen positive trends, contributing to BTC’s price recovery. Data from SoSo Value shows that Bitcoin ETFs in the US saw a total of $124 million in new inflows on a recent Monday. However, Grayscale’s GBTC ETF experienced outflows of about $54 million, while BlackRock’s IBIT ETF had the highest inflows for the day at $206 million.

Bitcoin Price Consolidation

These factors have helped BTC’s price consolidate between $65,000 and $68,000 over the past few days, with potential to retest the all-time high of $73,500 reached in March this year. Currently, Bitcoin is trading at $66,000, down 2.5% over the past 24 hours and 1.5% over the past week.

Analysis of the Spot Cumulative Volume Delta (CVD) Metric

The spot cumulative volume delta (CVD) metric on Kraken and Bitstamp is a crucial indicator of market trends. It shows that there is only a marginal increase in sell-side pressure, which means creditors may prefer to hold their BTC for the long term rather than selling it immediately. This trend supports Bitcoin’s price stability and suggests a positive outlook for the cryptocurrency market.

Impact of Japanese Bankruptcy Law

Under Japanese bankruptcy law, creditors of Mt. Gox had the option to receive their payouts in Bitcoin rather than fiat currency. This new option was chosen by many creditors, indicating their continued interest in the Bitcoin market. This choice supports the idea that creditors are likely to hold their BTC for the long term, which can help stabilize the price of Bitcoin.

Comparison with Other Significant Transactions

The distribution of BTC from Mt. Gox is significant compared to other large transactions in the cryptocurrency market. For instance, it surpasses recent crypto ETF inflows and the selling pressure from the German government. This highlights the importance of this event in the broader context of the cryptocurrency market.

Long-Term Holding Strategy Among Creditors

Many Mt. Gox creditors appear to have a long-term holding strategy for their BTC. This is evident from the limited sell-side pressure observed in the market. By holding onto their BTC, creditors are contributing to the stability and potential growth of Bitcoin’s price. This behavior aligns with the actions of other long-term Bitcoin holders who have been accumulating BTC during price dips.

Bitcoin Market Trends and Predictions

The Bitcoin market has experienced significant fluctuations over the past year. However, the recent distribution of BTC from Mt. Gox, combined with the actions of long-term holders and positive ETF market trends, suggests a promising future for Bitcoin. Experts predict that BTC could potentially retest its all-time high of $73,500, driven by continued positive market sentiment and increased adoption.

Role of Kraken and Bitstamp

Kraken and Bitstamp have played a crucial role in managing and distributing the recovered BTC from Mt. Gox. Their involvement ensures that the distribution process is smooth and secure, providing confidence to creditors and the broader cryptocurrency market. These exchanges are among the top five designated for this task, highlighting their significance in the crypto ecosystem.

Future Distribution of Remaining BTC

With nearly 79,600 BTC still to be distributed, the market is closely watching the next steps in the Mt. Gox payout process. The distribution of these remaining coins will likely follow a similar pattern, with a focus on stability and minimizing market impact. Creditors and market participants alike are keen to see how this will unfold and its potential effects on Bitcoin’s price.

Bitcoin’s Price Support from Long-Term Holders

Long-term Bitcoin holders have been a significant factor in supporting BTC’s price. Their buying spree, which added over 110,000 BTC to their portfolios, demonstrates strong confidence in Bitcoin’s future. This behavior is crucial in maintaining price stability and encouraging new investors to enter the market.

Positive Trends in the Bitcoin ETF Market

The Bitcoin ETF market has seen notable inflows, which have positively impacted BTC’s price. Despite some outflows from Grayscale’s GBTC ETF, overall trends are encouraging. BlackRock’s IBIT ETF, for example, recorded substantial inflows, reflecting growing institutional interest in Bitcoin.

Bitcoin’s Price Consolidation and Future Prospects

Bitcoin’s price consolidation between $65,000 and $68,000 indicates a period of stability and potential growth. With the possibility of retesting the all-time high of $73,500, market participants are optimistic about BTC’s future. Continued positive trends and the strategic actions of long-term holders are likely to support this growth.

The distribution of Bitcoin from the defunct Mt. Gox exchange marks a significant event in the cryptocurrency market. The involvement of Kraken and Bitstamp in managing and distributing these funds, coupled with the long-term holding strategies of creditors, supports Bitcoin’s price stability. Positive trends in the Bitcoin ETF market further enhance the outlook for BTC. As the remaining BTC is distributed, the market will continue to watch closely, anticipating future developments and potential growth for the largest cryptocurrency.

Record $39.4B Bitcoin Open Interest Suggests Imminent Price Breakout

Bitcoin’s open interest has hit a record high of $39.4 billion, suggesting a possible price breakout. Open interest is used to measure the interest and liquidity in an asset. For Bitcoin, this rise in open interest could mean a significant price move soon.

Bitcoin Futures Open Interest Hits All-Time High

Bitcoin futures’ open interest has reached a new all-time high of $39.46 billion. This high level of open interest shows that more investors are interested in Bitcoin than ever before. The previous record was $39.03 billion, set on March 29, 2024, according to CoinGlass data.

Understanding Bitcoin Open Interest

Open interest is a metric that tracks the total number of open positions in Bitcoin. It helps traders understand how much interest and liquidity there is in the market. The current peak of $39.46 billion shows that investors are very interested in Bitcoin right now, which could lead to a price breakout.

Bitcoin Breakout Could Be Imminent

The new high in open interest, combined with other factors, suggests that Bitcoin’s price might soon reach new all-time highs. Short-term holders and BTC dominance are two key indicators that point towards a possible breakout.

Short-Term Holders in Profit

As of July 24, over 75% of Bitcoin’s short-term holders were in profit. This could lead to more buying pressure on Bitcoin, as short-term holders are often seen as a sign of retail demand for the cryptocurrency.

BTC Dominance Growing

Bitcoin’s dominance in the crypto market is growing. This means Bitcoin is taking up a larger share of the total market capitalization. According to Benjamin Cowen, CEO and Founder of Into The CryptoVerse, this increasing dominance suggests Bitcoin could rise even higher.

Can Bitcoin Price Breach $71,500 Next?

Bitcoin’s next major target is $71,500, according to popular crypto analyst Rekt Capital. Bitcoin’s price is currently 5.8% down from its all-time high of over $73,750, recorded on March 14. Whether Bitcoin can reach this new target will depend on several factors.

US Spot Bitcoin ETFs and Price Action

One of the key factors influencing Bitcoin’s price is the inflows into US-based spot Bitcoin exchange-traded funds (ETFs). Last week, these ETFs saw $795 million worth of net inflows. This was the fourth week in a row of positive inflows, according to Dune data.

Historical Bitcoin Open Interest and Price Movements

Historically, high levels of open interest have often been followed by significant price movements in Bitcoin. When open interest is high, it shows that many investors are actively trading Bitcoin. This can lead to increased volatility and larger price swings.

Increased Investor Demand for Bitcoin

The current record level of open interest indicates that investor demand for Bitcoin is very high. More investors are getting involved in the Bitcoin market, which can drive the price up. High investor demand is a strong sign that Bitcoin’s price could break out soon.

Liquidity and Market Capitalization

Liquidity is crucial for any asset, including Bitcoin. High liquidity means that Bitcoin can be bought and sold quickly without causing large price changes. The current high level of open interest suggests that Bitcoin’s liquidity is strong, which can support a price breakout. Additionally, Bitcoin’s growing market capitalization shows that it is becoming more valuable and more important in the overall crypto market.

What this means

Tthe record $39.4 billion Bitcoin open interest suggests that a price breakout could be imminent. The high level of open interest, combined with factors like short-term holders in profit and growing BTC dominance, points towards a possible price rise. Bitcoin’s next target is $71,500, and the inflows into US spot Bitcoin ETFs will play a significant role in determining whether Bitcoin can reach this target. With increased investor demand and strong liquidity, Bitcoin’s price could be set for a major move soon.

BTC Price Gains Fail to Materialize Despite Trump and Others Promising a Giant Bitcoin Reserve

Bitcoin’s price did not see significant gains on July 28, even after United States presidential candidates, including Donald Trump, promised to build a massive Bitcoin strategic reserve if elected.

Price Stabilizing After Flash Volatility

Bitcoin’s price was stabilizing after experiencing flash volatility during the Bitcoin 2024 conference. Many had anticipated a price surge before the event. Two presidential candidates, Donald Trump and Robert F. Kennedy Jr., both announced plans to build a strategic Bitcoin reserve of at least 200,000 BTC. However, this announcement did not have the expected impact on the market.

Experts Weigh In on Bitcoin Reserve Plans

Charles Edwards, the founder of Capriole Investments, reacted to these announcements on social media platform X, previously known as Twitter. He mentioned there was a 65% chance of a US strategic reserve for Bitcoin and that it could still be bought for under $70,000. Edwards referenced Trump’s election odds while discussing this.

Popular trader Daan Crypto Trades suggested that the lack of immediate market response could be due to timing. In his analysis of Trump and others’ speeches, he noted that people might be surprised and confused by the timeline. He stated that the strategic reserve commitments were “heavily underpricing” the actual impact. Even if no new coins are bought, just holding the seized coins would remove a significant supply from the market, easing sell-side pressure.

Bitcoin Monthly Close in Focus

As the buzz from the conference died down, Bitcoin traders turned their attention to the upcoming weekly and monthly closes. The previous candle finish was nearly $68,200, leaving uncertainty about whether the week would end in losses or gains.

Trader MegaWhale Crypto analyzed Bitcoin’s relative strength index (RSI) and hoped for an upward continuation. He explained that Bitcoin’s weekly RSI had broken upward, which was a positive sign. However, for the breakout to be validated, the RSI needed to stay above the diagonal down trending resistance until the weekly close.

Keith Alan, co-founder of Material Indicators, was more cautious. He pointed out that Bitcoin was still facing rejection from key resistance levels. Data from CoinGlass showed that BTC/USD was up 7.8% in July, canceling out losses from June.

Political Strategies and Crypto Industry Dynamics

As the 2024 election approaches, the relationship between political strategies and the crypto industry is becoming more significant. The Harris campaign, for instance, aims to repair the Democratic Party’s ties with the crypto sector. Kamala Harris’s advisers have reached out to top crypto companies to reset strained relationships.

Harris Campaign’s Outreach to Crypto Companies

According to the Financial Times, members of Harris’s team have contacted individuals connected to major crypto companies, including Coinbase, Circle, and Ripple Labs. The goal is to foster a constructive dialogue and establish a regulatory framework that supports industry growth. This outreach is crucial as the crypto industry has shown increasing support for her rival, Donald Trump.

Rethinking Stance on Digital Assets

The Harris campaign’s outreach is part of a broader effort to reshape the perception of the Democratic Party among business leaders. This initiative aims to counter the notion that Democrats are anti-business, a sentiment that has grown amid the Biden administration’s antitrust actions against tech companies. The campaign is focused on building a positive relationship that can pave the way for sensible regulatory frameworks.

Crypto’s Emerging Role in US Politics

Donald Trump, who once expressed skepticism towards cryptocurrencies, has recently become a strong advocate for the sector. He delivered a keynote speech at the Bitcoin 2024 conference in Nashville, Tennessee, on July 27, highlighting his support for the industry. This shift has garnered him substantial backing from the crypto community, making the sector an important source of funding for his campaign.

Pro-Crypto Super PAC Fairshake

The pro-crypto super PAC Fairshake has raised over $200 million from prominent backers, including Coinbase, Ripple, and venture capital firm Andreessen Horowitz. Meanwhile, Trump’s reelection campaign has received approximately $3 million in cryptocurrency donations since he announced it would accept digital asset contributions.

The Impact of a US Bitcoin Strategic Reserve

The idea of a US Bitcoin strategic reserve has significant implications for the global crypto market. If either Trump or Robert F. Kennedy Jr. implements their plans, it could influence Bitcoin’s supply and price dynamics. Charles Edwards and Daan Crypto Trades have both commented on the potential market impact, noting that the strategic reserve commitments could ease sell-side pressure and support Bitcoin’s price.

Weekly and Monthly Bitcoin Price Movements

Bitcoin traders are closely monitoring weekly and monthly price movements. The relative strength index (RSI) trends are crucial indicators for predicting price directions. MegaWhale Crypto and Keith Alan have provided their analyses, highlighting key resistance levels and potential upward trends.

Anticipation of Price Surge

Despite the anticipation of a price surge before the Bitcoin 2024 conference, the market’s response was muted. The promises from Donald Trump and Robert F. Kennedy Jr. did not lead to the expected gains. Experts believe that the strategic reserve commitments were already priced in to some extent, but the timing and market sentiment played significant roles.

Future of Bitcoin Regulation

The future of Bitcoin regulation is a critical topic as the 2024 election approaches. Both Trump and Harris are focusing on different aspects of the crypto industry. Trump’s support has attracted significant funding from the crypto community, while Harris aims to establish a regulatory framework that balances industry growth with sensible oversight.

Building a Strategic Bitcoin Reserve

The proposal to build a strategic Bitcoin reserve is a bold move by US presidential candidates. Such a reserve could have far-reaching effects on Bitcoin’s market stability and price. The idea is to create a reserve of at least 200,000 BTC, which would significantly reduce the available supply and potentially drive up prices.

Market Reactions and Future Predictions

Market reactions to political statements about Bitcoin have been mixed. While some traders expected a price surge, others were cautious about the timing and impact. Analysts like Charles Edwards and Daan Crypto Trades have provided insights into the potential effects of a strategic Bitcoin reserve on the market.

Key Resistance Levels and RSI Trends

Understanding key resistance levels and RSI trends is essential for predicting Bitcoin’s price movements. MegaWhale Crypto and Keith Alan have highlighted these factors in their analyses, providing valuable insights for traders. The focus is on whether Bitcoin can sustain its upward trend and break through key resistance levels.

Political Influence on Crypto Markets

The influence of political strategies on crypto markets is becoming more apparent. The Harris campaign’s outreach to the crypto industry and Trump’s support for Bitcoin are significant developments. These political moves could shape the future of Bitcoin regulation and market dynamics.

Crypto Donations and Campaign Funding

Crypto donations are playing an increasingly important role in campaign funding. The pro-crypto super PAC Fairshake has raised substantial funds, supporting Trump’s campaign. This trend highlights the growing influence of the crypto industry in US politics.

Sensible Regulatory Frameworks

Establishing sensible regulatory frameworks is a priority for the Harris campaign. The goal is to foster a positive relationship with the crypto industry and support its growth. This approach contrasts with the Biden administration’s perceived hostility towards digital assets.

Conclusion

The 2024 election will significantly impact the future of Bitcoin and the crypto industry. Political strategies, market dynamics, and regulatory frameworks are all key factors to watch. The promises of a strategic Bitcoin reserve and the outreach to the crypto industry highlight the growing importance of digital assets in US politics. As the election approaches, the interplay between political decisions and market reactions will continue to shape the landscape for Bitcoin and other cryptocurrencies.

Michigan Pension Fund Invests $6.6 Million in Bitcoin via ARK 21Shares ETF

Introduction to Michigan’s Bitcoin Investment

Michigan’s retirement system has made a notable move by investing $6.6 million in Bitcoin through the ARK 21Shares ETF. This significant step shows how traditional pension funds are starting to embrace cryptocurrency. The State of Michigan Retirement System made this investment, which is only a small part (0.004%) of its total $143.9 billion in assets. This was revealed in a 13-F Form filed with the Securities and Exchange Commission (SEC).

Understanding the 13-F Form

The 13-F Form is a quarterly report that large institutional investment managers must file with the SEC. It is required for those who manage more than $100 million in assets. This form helps the public understand where large institutions are investing their money. Michigan’s latest filing highlights its new interest in Bitcoin, marking a significant development in the world of institutional investments.

Other Pension Funds Investing in Bitcoin

Michigan is not alone in this trend. Other pension funds are also adding Bitcoin to their portfolios. For example, the State of Wisconsin Investment Board (SWIB) has invested $99 million in Bitcoin through BlackRock’s IBIT ETF. This shows a growing trend among public pension funds to diversify into digital assets.

Jersey City’s Plan to Invest in Bitcoin ETFs

Jersey City, New Jersey, is also planning to invest in Bitcoin ETFs. Mayor Steven Fulop announced that the city’s pension fund will include Bitcoin ETFs, following SEC approval. This decision is part of a broader strategy to integrate cryptocurrencies into the city’s financial plans. Fulop has been a strong supporter of cryptocurrency and blockchain technology, viewing them as major technological innovations.

The Rise of Bitcoin ETFs

Bitcoin ETFs have become quite popular since their launch. For example, BlackRock’s IBIT ETF has outperformed other major funds like Nasdaq’s QQQ in terms of year-to-date inflows. The SEC’s approval of spot Bitcoin ETFs has opened the door for more public pension funds to consider these investments. Although some large financial institutions like Wells Fargo and JPMorgan Chase have been slow to adopt Bitcoin ETFs, investing less than $1 million combined, the trend is growing.

Financial Strategies Involving Bitcoin ETFs

The inclusion of Bitcoin ETFs in pension funds reflects a broader trend of acceptance of digital assets in traditional finance. As more cities and states consider adding cryptocurrencies to their portfolios, this could lead to wider adoption of digital assets. Mayor Fulop’s decision is a strong signal that institutional acceptance of cryptocurrencies is increasing. This trend is expected to continue as more institutional investors file their 13-F forms with the SEC, revealing their Bitcoin holdings.

Blockchain Technology’s Impact

Blockchain technology, which underlies Bitcoin, is seen as a revolutionary development, comparable to the internet. Mayor Fulop highlighted this by saying that blockchain is one of the most important new technology innovations. This technology not only supports cryptocurrencies but also has potential applications in various fields such as finance, healthcare, and supply chain management.

Volatility and Risks of Cryptocurrency Investment

Despite the growing interest, there are still concerns about investing in cryptocurrencies. The Michigan government’s official website advises caution, warning about the volatility, lack of regulation, and vulnerability associated with crypto investments. These concerns are valid, as the value of cryptocurrencies can fluctuate significantly, leading to potential losses.

The Future of Institutional Crypto Investments

As more institutional investors and public pension funds start to include Bitcoin and other cryptocurrencies in their portfolios, the landscape of traditional finance is changing. This shift is driven by the potential for high returns and the increasing acceptance of digital assets. However, it is essential for these institutions to carefully consider the risks and benefits before making such investments.

Conclusion

Michigan’s $6.6 million investment in Bitcoin through the ARK 21Shares ETF marks a significant step in the adoption of cryptocurrencies by public pension funds. Other states, like Wisconsin and cities like Jersey City, are following suit, showing a growing trend of institutional acceptance of digital assets. As more 13-F forms are filed with the SEC, revealing institutional investments in Bitcoin, it is clear that the integration of cryptocurrencies into traditional finance is becoming more widespread. However, investors must remain cautious and aware of the risks associated with this volatile market.

Introduction

Franklin Templeton and SBI Holdings are teaming up to bring bitcoin ETFs to Japan. This new joint venture is preparing for Japan’s approval of cryptocurrency funds. The partnership aims to establish a digital asset management company. The goal is to be ready as soon as Japan gives the green light for cryptocurrency exchange-traded funds (ETFs).

Partnership Details

SBI Holdings, a Japanese financial services group, will partner with Franklin Templeton, a U.S. investment firm. SBI will hold a 51% stake in the new company, while Franklin Templeton will own the rest. Franklin Templeton is the seventh-largest asset manager in the world, managing around $1.6 trillion in assets. This new company will focus on preparing for the launch of crypto ETFs in Japan.

Franklin Templeton’s Move into Digital Assets

Franklin Templeton has traditionally focused on assets like stocks and bonds. However, in recent years, they have started investing in digital assets. They were one of the first to launch spot bitcoin ETFs after approval from the U.S. Securities and Exchange Commission in January. These spot bitcoin ETFs have seen total inflows exceeding $16 billion in just six months, according to market researcher EPFR.

Global Approval of Bitcoin ETFs

Bitcoin ETFs have already been approved for trading in the U.S., Canada, Brazil, Hong Kong, and Australia. While Japan hasn’t approved them yet, the new company by Franklin Templeton and SBI will be ready once approval is granted. This shows the growing acceptance of bitcoin ETFs worldwide.

Benefits for Retail Investors

Bitcoin ETFs can be traded through regular securities accounts. This means retail investors don’t need to use specialized crypto exchanges. They also don’t need to manage complex password-like private keys. This makes trading bitcoin ETFs much easier for everyday investors.

Ethereum ETF Trading

In addition to bitcoin ETFs, there are also Ethereum ETFs. Trading of an Ethereum ETF began in the U.S. recently. This is another step in the growing market of cryptocurrency ETFs.

Digital Asset Securities

The new joint venture will not only focus on bitcoin ETFs but also on digital asset securities. Franklin Templeton has been an early mover in this area. Digital asset securities involve tokenization. Tokenization uses blockchain to create tradable ownership tokens of assets like real estate and government bonds. According to a forecast by Boston Consulting Group and ADDX, asset tokenization is expected to grow to $16.1 trillion by 2030.

SBI Holdings’ Expansion into Alternative Assets

SBI Holdings has been partnering with overseas companies to expand its offerings in alternative asset investment products. For example, they established companies with U.K.-based Man Group in July 2023 and with U.S. private equity firm KKR in September 2023. These alternative assets have a low correlation with traditional assets like stocks and bonds, making them attractive for investors looking to diversify their portfolios.

SBI Securities’ Wealth Management Office

SBI Securities, Japan’s largest online brokerage, set up a wealth management office in July 2023. This move aims to expand their customer base upmarket, providing more options for wealthy clients. This shows SBI’s commitment to growing its presence in the financial market.

Preparing for Japan’s Approval

The new joint venture between Franklin Templeton and SBI Holdings is strategically positioned to launch bitcoin ETFs as soon as Japan’s Financial Services Agency (FSA) gives its approval. This proactive approach shows the company’s commitment to being at the forefront of the cryptocurrency market in Japan.

The Future of Digital Asset Management

With Franklin Templeton’s expertise in asset management and SBI’s strong presence in Japan, the new company is well-equipped to handle the complexities of digital asset management. They are preparing to meet the growing demand for cryptocurrency funds and digital asset securities.

Summary of Key Points

• Franklin Templeton and SBI Holdings are teaming up to bring bitcoin ETFs to Japan.
• SBI Holdings will hold a 51% stake in the new company.
• Franklin Templeton is the seventh-largest asset manager globally.
• They have moved into digital assets and were early movers in spot bitcoin ETFs.
• Bitcoin ETFs have seen significant inflows globally.
• The new company will also focus on digital asset securities and tokenization.
• SBI Holdings is expanding into alternative asset investments.
• SBI Securities set up a wealth management office to attract wealthy clients.
• The joint venture is preparing for Japan’s Financial Services Agency approval.

Conclusion

Franklin Templeton and SBI Holdings’ partnership marks a significant step in bringing bitcoin ETFs to Japan. This move reflects the growing global acceptance of cryptocurrency funds and digital assets. With the combined expertise of both companies, they are well-prepared to meet the demand for these innovative investment products. As Japan moves closer to approving cryptocurrency ETFs, this new joint venture is poised to play a crucial role in the future of digital asset management.

Blackrock’s View on Crypto ETFs Beyond Bitcoin and Ethereum

Blackrock, a major asset manager, believes there is “very little interest” in cryptocurrencies beyond Bitcoin (BTC) and Ethereum (ETH). Robert Mitchnick, Blackrock’s head of digital assets, shared this insight at the Bitcoin2024 conference on July 25 in Nashville, Tennessee.

Limited Interest in Crypto ETFs Beyond BTC and ETH

Robert Mitchnick emphasized that most of Blackrock’s clients are primarily interested in Bitcoin, with some interest in Ethereum. He stated, “Our client base today is overwhelmingly interested in Bitcoin first, and then somewhat in ETH. There’s very little interest today beyond those two.” He spoke during a panel titled “From Strategy to Innovation: Blackrock’s Bitcoin Journey.”

Mitchnick doesn’t foresee a wide range of crypto exchange-traded funds (ETFs) being developed beyond Bitcoin and Ethereum. Blackrock launched its first crypto ETFs, iShares Bitcoin Trust (IBIT) and iShares Ethereum Trust ETF (ETHA), in January and July, respectively.

Differing Opinions Among Asset Managers

Not all asset managers share Blackrock’s cautious view. Franklin Templeton, another asset manager that also issues BTC and ETH ETFs, is optimistic about the future of cryptocurrency ETFs, including plans for a Solana product. In a post on X (formerly Twitter) on July 23, Franklin Templeton expressed, “Besides Bitcoin and Ethereum, there are other exciting and major developments that we believe will drive the crypto space forward.”

Complementary Roles of BTC and ETH

Mitchnick explained that most of Blackrock’s clients view Bitcoin and Ethereum as complementary assets in their crypto portfolios, not as competitors. “When clients buy ETH ETFs, they usually add to an existing crypto portfolio allocation, rather than swap out of BTC,” he said. However, he noted that data on investor flows into ETH ETFs, which only started trading on July 23, is limited.

Bitcoin is often seen as a “store of value” within the crypto space, a role it holds quite definitively. On the other hand, Ethereum is involved in various applications that Bitcoin does not typically engage in. “ETH is trying to do a bunch of different applications that for the most part, Bitcoin is not trying to do,” Mitchnick said. “So, really, they’re more complements than they are competitors or substitutes.”

Mitchnick expects that eventually, investors will allocate around 20% of their crypto holdings to Ethereum, with the remainder going to Bitcoin.

Popularity of Blackrock’s Crypto ETFs

Blackrock’s crypto ETFs are among the most popular in the industry. The iShares Bitcoin Trust (IBIT) commands approximately $22 billion in assets under management (AUM), while the iShares Ethereum Trust ETF (ETHA) has approached $270 million after only a few days of trading.

Blackrock’s Strategic Insights

Mitchnick’s insights reflect Blackrock’s strategic approach to the crypto market. By focusing on Bitcoin and Ethereum, Blackrock aims to meet the primary interests of its clients. This strategy seems to be paying off, given the substantial AUM figures for their crypto ETFs.

Franklin Templeton’s Different Approach

In contrast, Franklin Templeton’s approach indicates a broader interest in the crypto market. Their optimism about future cryptocurrency ETFs, including products beyond Bitcoin and Ethereum, suggests a belief in the potential for other digital assets to play significant roles in the market.

Future of Crypto ETFs

The future of crypto ETFs remains a topic of interest and debate among asset managers. While Blackrock remains cautious and focused on Bitcoin and Ethereum, other firms like Franklin Templeton are exploring a wider range of cryptocurrency products. This divergence in strategies highlights the evolving nature of the crypto market and the differing opinions on what will drive its growth.

Key Takeaways

1. Client Interest: Blackrock’s clients are primarily interested in Bitcoin and Ethereum, with little interest in other cryptocurrencies.
2. Complementary Assets: BTC and ETH are seen as complementary, not competing, assets in crypto portfolios.
3. Strategic Focus: Blackrock focuses on BTC and ETH to align with client interests and achieve substantial AUM.
4. Diverse Strategies: Other asset managers, like Franklin Templeton, are more optimistic about a broader range of cryptocurrency ETFs.
5. Market Dynamics: The future of crypto ETFs will be shaped by differing strategies and evolving client interests.

Conclusion

Blackrock’s cautious approach to crypto ETFs, focusing on Bitcoin and Ethereum, contrasts with the more expansive strategies of other asset managers like Franklin Templeton. As the crypto market continues to evolve, these differing perspectives will play a crucial role in shaping the landscape of cryptocurrency investment products. The popularity of Blackrock’s ETFs highlights the strong client interest in BTC and ETH, while the optimism of firms like Franklin Templeton suggests that there may be more room for growth and innovation in the cryptocurrency ETF space.

Wall Street’s ETF Engine Revs Up After $17 Billion Bitcoin Haul

Introduction

Wall Street’s ETF engine is roaring again, especially after a huge $17 billion Bitcoin haul. This surge has issuers eager to introduce new crypto funds, particularly after the recent debut of Ether ETFs. The demand for Bitcoin ETFs has skyrocketed, with net inflows reaching $17.5 billion.

Rush for New Crypto Funds

Just 48 hours after US regulators approved Ether ETFs, asset managers are scrambling to release new products for the digital-asset market. ProShares recently submitted paperwork for six new funds that would either go long or short on Bitcoin or Ether. Hashdex is also looking to create a fund that includes both Bitcoin and Ether. Additionally, VanEck announced plans to launch an ETF based on Solana, the fifth-largest cryptocurrency. However, analysts predict a challenging path for such a launch.

Growth in the ETF Market

The ETF market is buzzing with activity. Despite the SEC’s cautious stance, Bitcoin ETFs are among the top funds for inflows this year, surpassing even some well-known tech funds. According to Roxanna Islam from VettaFi, ETFs are known for pushing boundaries. She expects more creative crypto ETF filings as investor interest in traditional spot-crypto ETFs grows.

New Fund Launches and Closures

The US ETF market, worth $9.4 trillion, is seeing rapid growth in new fund launches. So far this year, over 330 new funds have started trading, compared to around 500 for the entire last year. However, the market is also seeing a significant number of fund closures, with more than 100 ETFs shutting down in 2024, similar to last year.

Successful Debuts of Bitcoin and Ether ETFs

The debut of Bitcoin and Ether ETFs has been surprisingly successful. Ether ETFs, launched just a week ago, have already seen substantial inflows. Eight out of nine Ether ETFs have attracted investments, with BlackRock and Bitwise’s products each taking in more than $200 million. However, both the ETFs and Ether itself experienced a drop on Thursday, which some market experts predicted as a “sell-the-news” event.

Bitcoin ETFs’ Massive Inflows

Bitcoin ETFs have performed exceptionally well, with net inflows of $17.5 billion year to date. These ETFs have been in the making for years, and their launch signifies a more favorable US regulatory environment for digital assets. This regulatory shift is encouraging asset managers to get more creative with their products.

Inverse and Leveraged ETFs Popularity

Inverse and leveraged ETFs have gained significant popularity over the past year. These ETFs use derivatives to either boost returns or pay out the opposite of a stock or index’s return. Retail investors are particularly drawn to these ETFs for their potential to double or triple gains, despite the risk of amplified losses. Leveraged ETFs have seen around $9 billion in inflows this year, on track to surpass last year’s $10.2 billion. A leveraged Bitcoin ETF, trading under the ticker BITX, has accumulated nearly $2 billion in inflows this year, with gains of 50%.

The Road Ahead for Crypto ETFs

The introduction of new crypto ETFs, especially those based on Bitcoin and Ether, has created a buzz in the market. Asset managers are keen to explore new opportunities in the digital-asset space, despite the challenges posed by the regulatory environment. The success of these ETFs indicates strong investor interest and a potential shift in the market dynamics.

Investor Interest and Market Dynamics

The growing interest in crypto ETFs reflects a broader trend of increased investor interest in digital assets. As more traditional spot-crypto ETFs gain traction, we can expect to see a wave of new filings for crypto strategies. This trend is likely to continue as investors seek to diversify their portfolios with innovative financial products.

Conclusion

Wall Street’s ETF engine is in full swing, driven by the massive $17 billion Bitcoin haul and the successful debut of Ether ETFs. Asset managers are racing to introduce new crypto funds, while investors are eager to explore these new opportunities. Despite the challenges, the future of crypto ETFs looks promising, with continued growth and innovation on the horizon.