2023-10-25 02:39:00
A crazy day for investors. Bitcoin reached its highest level in almost a year and a half on Tuesday, October 24, briefly surpassing $35,000, in a market ignited by the possible upcoming arrival of a new cryptocurrency investment product that would help democratize currencies. digital.
Around 10:15 p.m. GMT (12:15 a.m. in Paris), bitcoin climbed 1.15% to $34,041, after briefly crossing the $35,000 mark, up to $35,172, a level it did not had not reached since May 2022. The price of bitcoin has doubled since the start of the year.
Bitcoin benefits from “improving prospects for acceptance of ETFs” (index funds) and maintains “its strength as a somewhat alternative investment in times of uncertainty,” explained Walid Koudmani, analyst at XTB. These ETFs or index funds are investment products that savers can buy or sell at any time, which makes them attractive to small investors, and which replicate the performance of one or more financial assets.
The upcoming arrival of a spot Bitcoin ETF on American soil
The world of cryptocurrencies has been waiting for several years for the approval, in the United States, of an ETF whose assets would be invested in bitcoins. On Monday, a federal appeals court in Washington upheld its decision, rendered at the end of August, which ruled in favor of asset manager Grayscale against the Financial Markets Regulatory Authority, the SEC, which had refused to authorize its ETF .
The authorization of such a fund, which several players want to launch, “could encourage a wider range of investors to enter the cryptocurrency sector”, estimates Patrick Munnelly, analyst at Tickmill.
On Tuesday, the market shuddered again when the ETF of the largest asset manager appeared on the list compiled by the DTCC clearing house (which reconciles sale and purchase orders placed on the markets). in the world, the American BlackRock. But the product was removed from the list after a few hours, noted Agence France-Presse. Requested by Agence France-Presse, DTCC did not respond. When contacted, BlackRock declined to comment, indicating that it was subject to reservation pending the SEC’s ruling on its case.
A historic peak at $68,991 in November 2021
“My feeling is that the SEC had to make a phone call to BlackRock to ask them to put a stop to it” while waiting for a final decision on their candidacy, commented on X (ex-Twitter), Gabor Gurbacs, entrepreneur in the world of cryptocurrencies. “Things are progressing and there is increasing momentum,” he added, while downplaying the brief listing of BlackRock’s ETF.
The SEC denied on Monday having given the green light to such a fund, explaining that BlackRock’s file was still under study. On Friday, bitcoin had already crossed the $30,000 mark following the partial withdrawal of the SEC, which had taken federal action to obtain the conviction of Ripple Labs, creator of the XRP cryptocurrency, which it accused of having marketed without prior registration with the SEC.
The digital asset reached a historic peak in November 2021, at $68,991, before sinking to $15,485 a year later, in the tumult of scandals affecting the sector. The other main cryptocurrencies have also increased in the last 24 hours, notably Ethereum, and its unit, Ether, which has gained more than 7%.
#Bitcoin #exceeds #highest #level