ETFs ignite the market. On June 17, the financial giant BlackRock has filed a Bitcoin ETF application with the SEC. Since then, several companies have followed suit. This enthusiasm of the institutions was such that all the crypto markets responded positively.
The race for ETFs is on in the United States
In parallel with the various SEC attacks on crypto companies, institutions take a keen interest in cryptocurrencies. Thus, in turn, BlackRock, WisdomTree, Invesco, Volatility Shares Trust or Valkyrie have filed ETF applications with the US SEC.
Finally, on June 23, the SEC has approved a Bitcoin ETF for the first time. This is the request from Volatility Shares Trust. While most other funds have applied for spot ETFs, the approved ETF is a leveraged Bitcoin futures ETF.
>> Want to add 1 bitcoin to your wallet? Register quickly on Binance and try your luck (trade link) <<
A positive impact on the crypto markets
For many months, the crypto markets have been in slow motion. However, this infatuation recent from the traditional finance for Bitcoin ETFs has instilled a healthy dose of momentum. According to data compiled by The Block, trading volumes cryptos increased 77% since BlackRock’s request.
Thus, the moving average over seven days of trading volumes increased from 11 billion at the end of May to $19.5 billion to June 26.
Obviously, we are still far from the peaks reached during the previous bull run.
For some analysts, like JMP’s Devin Ryanthis rise is likely related to ETF demand from BlackRock:
“We believe that the rise in trading volume during the week, which was accompanied by a 12% appreciation in the total crypto market cap, can likely be attributed to some momentum in the space after BlackRock has filed an application with the SEC for a Bitcoin ETF. »
A similar phenomenon in institutions
This phenomenon is not limited to trading platforms dedicated to retail investors. In fact, the platform LMAX Digitalwhich exclusively serves institutional clients, made the same observation. Since BlackRock’s application, volumes have reached $415 million, a 15% increase compared to its 30-day average.
Obviously, the volatility also increase. Indeed, the price of Bitcoin recorded daily spreads of up to $1,008.
In Asia, ETFs are also on the rise. A few days ago, the bank HSBC has opened access to two Bitcoin ETFs and an Ethereum ETF to all of its customers based in Hong Kong. An event that once again designates Hong Kong as a crypto hub in its continent.
If at the end of this article, you are still hesitating, know that there is really only one possible choice. Do nothing and let someone else win… or register now on Binance THE reference crypto platform, to try to win the game and add 1 bitcoin to your portfolio. What do you decide? (commercial link)