Within the last hour, Bitcoin (BTC) price surged to $57,100, a level not seen since Feb. 20 when BTC price made a new all-time high at $58,352. The bullish breakout signals that investor sentiment has shifted back in favor of bulls and it increases the likelihood that BTC will attempt a run at the $60,000 level.
Data from Cointelegraph Markets and TradingView shows that Bitcoin bounced off a low of $52,998 in the early morning hours and proceeded to rally 6.5% above the $57,000 level.
Today’s upside move was preceded by news that Digital Currency Group intends to buy up to $250 million shares of the Grayscale Bitcoin Trust (GBTC). The purchase comes at an interesting time, considering that on March 8 GBTC shares traded at a 15% discount to Bitcoin’s spot price on major exchanges.
While institutional investors may be able to take credit for the current move, overall interest in Bitcoin is also continuing to grow. Recent data shows that 10,000 Bitcoin ATMs have been installed in the U.S. since March 1, 2020, marking a 57.5% in the number of BTC-equipped ATMs over the past year.
Bitcoin ignores the economic concerns weighing on stocks
In the past two weeks, equities markets have been weighed down by a downturn in technology stocks and concerns over the rising Treasury yield. Many analysts predicted that a strengthening dollar and rising Treasury yield would negatively impact Bitcoin price.
According to Chad Steinglass, Head of Trading at CrossTower, the “underlying current in BTC is still incredibly good,” as it seems like there are major traditional finance players getting involved with BTC on a daily basis.
Steinglass said that the recent addition of Ether (ETH) to the balance sheet of the Chinese software firm Meitu is another positive development as it demonstrates the growing prominence of cryptocurrencies in traditional finance.
Steinglass further explained that the BTC correction of the past two weeks was the result of a “massive sell-off in tech equities” which hit GBTC hard as the “discount to NAV that GBTC traded got as high as 15%” on March 5 as European traders “ran in fear” at the close of the Europe equity markets.
I believe that this caused a drag on BTC prices, as adventurous traders stepped in to slowly buy GBTC while selling spot or futures. The fact that spot BTC prices were able to tread water during this route was something I found quite bullish.
Altcoins follow Bitcoin’s breakout
As Bitcoin takes aim at the $60,000 level, several altcoins also chased after new all-time highs.
Theta (THETA), a blockchain-based video streaming platform, rallied 18% over the past 24-hours to reach a new all-time high of $5.92.
Meanwhile, Polygon (MATIC) received a 33% boost on March 9 when Coinbase announced that the token would be added to Coinbase Pro.
The overall cryptocurrency market cap now stands at $1.74 trillion and Bitcoin’s dominance rate is 61.1%.
Billionaire Mark Cuban Identifies Altcoin With ‘Most Upside’ As Bitcoin Blasts Above $60,000
As Bitcoin shoots above $60,000, business magnate Mark Cuban says one altcoin stands above the rest in terms of investment potential.
In a new interview with CNBC Make It, the billionaire says that Ethereum (ETH) is the best crypto prospect on the market.
“As an investment, I think Ethereum has the most upside.”
Cuban, who previously stated that smart contracts on Ethereum’s blockchain have revolutionized the cryptocurrency market, believes that the second-largest crypto by market cap is the digital asset which most resembles legal tender.
“I wish I had bought [Ethereum] sooner. I think it’s the closest thing we have to a true currency.”
Cuban went on to reiterate his position that Bitcoin (BTC) is superior to gold because not only is its supply scarce, but it’s easier to transfer, store, trade, and fractionalize. That sentiment is shared by fellow billionaire CEO Chamath Palihapitiya of Social Capital and Virgin Galactic.
Cuban’s comments come on the heels of him saying that customers prefer making payments in Dogecoin (DOGE) rather than BTC at his venues because Bitcoin tends to be a highly appreciable asset.
Ethereum is exchanging hands at $3,839 at time of writing, an 11% increase from its seven-day low of $3,431, according to CoinGecko.
ProShares Set for Bitcoin Futures ETF Launch on Monday After Apparent SEC Approval
The US Securities and Exchange Commission has reportedly greenlit the country’s first Bitcoin futures exchange-traded fund (ETF).
ProShares, an ETF provider, filed a post-effective amendment prospectus on Friday that states the company plans to launch the BTC Futures ETF on Monday, a sign that the SEC has approved the product.
The fund doesn’t invest directly in Bitcoin, but it provides price exposure to Bitcoin futures contracts, a first in the US.
Both Bloomberg and CNBC, citing people “familiar with the matter,” reported earlier in the week that the SEC planned to approve BTC futures ETFs from ProShares and the independent investment firm Invesco Ltd.
Invesco’s ETF is also set to provide exposure to a collection of exchange-traded products (ETPs) and private investment trusts that hold Bitcoin, rather than direct investments in BTC itself.
Last month, SEC Chairman Gary Gensler said he was open to ETFs for Bitcoin futures, noting that they are filed under mutual fund guidelines which provide “significant investor protections.”
Bitcoin is trading at $61,549.38 at time of writing and is up 6.6% in the past day and more than 40% in the past two weeks, according to CoinGecko.
BTC hit its all-time high of $64,804.72 in mid-April.
Bitcoin May See Real Peak If ETF Is Approved and I May Cash Out Half My ETH: CNBC’s Jim Cramer
Jim Cramer shares a common view that Bitcoin has the opportunity to reach a short-term peak or even a real peak if Bitcoin ETFs are approved next week.
Host of CNBC’s Mad Money, Jim Cramer, has talked to Andrew Sorkin from CNBC’s Squawk Box show about the prospects of the Bitcoin price if or when four Bitcoin futures ETFs get the SEC’s approval next week.
Cramer also stated that he may cash out half of his Ethereum stash.
SEC approval for ETF may push Bitcoin up, Cramer says
Answering Sorkin’s question, Cramer stated that a lot of people believe there is a high chance that the senior cryptocurrency, Bitcoin, may hit a short-term or even a real price peak if four BTC-based ETFs are approved by the SEC next week.
He corrected the host and said that the regulatory agency may approve not just one but four Bitcoin futures ETFs next week.
However, he stated that people are running ahead of a possible ETF approval.
"There's a possibility a lot of people feel that you can get a short-term peak, or maybe a real peak as people just run ahead of the ETFs," says @jimcramer on a #Bitcoin ETF approval. "I might cash out half my $ETH." pic.twitter.com/48MJP047yK— Squawk Box (@SquawkCNBC) October 15, 2021
Bitcoin spikes to $59,500 as chance for ETF approval emerges
Earlier today, the flagship digital currency, Bitcoin, soared to a multi-month high of $59,500 on the Bitstamp exchange. It happened after Bloomberg released a report, saying that so far the Securities and Exchange Commission has not objected to approving multiple Bitcoin futures ETFs that were submitted to it earlier this year.
The Bloomberg article stated that the information had been confirmed by multiple sources close to the SEC and to the matter in question.
The media giant’s ETF analyst, Eric Balchunas, believes that the likelihood of Bitcoin ETFs getting the green light has now risen to more than 90%. Still, he is not ready to “close the case” yet.