Bitcoin Shoots Past $30,000 amid Ongoing Rush for Spot BTC ETF

UTC by Bhushan Akolkar · 3 min read
Bitcoin Shoots Past $30,000 amid Ongoing Rush for Spot BTC ETF
Photo: Depositphotos

A flood of spot Bitcoin ETF applications coming from the wealthiest asset managers of the world has fuelled investor optimism with BTC price gaining more than 20% in the last three days.

The world’s largest cryptocurrency Bitcoin (BTC) continues with its price rally gaining another 5% in the last 24 hours and shooting past $30,000. As of press time, BTC is trading at $30,286 with a market cap of $588 billion. This week’s price rally in BTC comes amid a flood of spot Bitcoin ETF applications making their way to the SEC’s office. Financial behemoth BlackRock triggered the trend while filing for spot Bitcoin ETF last week.

Soon after, several other asset managers such as Fidelity, Valkyrie, WisdomTree, Bitwise, and others joined the bandwagon. Some of these players have already floated their Bitcoin derivative products which are permissible under the regulatory rules.

In the past, the SEC has rejected multiple applications for spot Bitcoin ETF amid concerns about the lack of investor protection. However, with global financial giants like BlackRock throwing their weight, investors are optimistic about its approval going ahead.

Ever since the BlackRock filing, the Bitcoin price is already by more than 20%. Much of this rally has come just in the last 72 hours. With this current price rally, Bitcoin continues to extend its market dominance which is now 50% of the overall crypto market.

The recent price breakthrough is accompanied by a notable surge in Bitcoin Network activity. On June 14, there were 385,000 transactions recorded, and this number increased by 13% to reach 435,000 transactions on June 20, as per data from The Block. Interestingly, this rise in activity aligns with asset manager BlackRock’s filing for a spot Bitcoin (BTC) ETF.

The Great Accumulation of Bitcoin

As some of the world’s biggest financial players jump to gain exposure to Bitcoin, Gemini co-founder Cameron Winklevoss calls it ‘The Great Accumulation’. In one of his recent tweets, Cameron wrote:

“The Great Accumulation of bitcoin has begun. Anyone watching the flurry of ETF filings understands the window to purchase pre-IPO bitcoin before ETFs go live and open the floodgates is closing fast. If bitcoin was the most obvious and best investment of the previous decade, this will likely be the most obvious and best trade of this decade.”

On the other hand, Bitcoin whales have also been accumulating BTC all this while. On-chain data shows that the whale transactions shot up as the BTC price shot past $30,000. As per the Santiment report, “Bitcoin’s whale transactions hit its highest hour in over 3 months, as 259 transactions exceeding $1M in value occurred on the $BTC network just 2 hours after its price exceeded $30.6k. Volume likely needs to continue rising to justify more growth”.

Bitcoin News, Cryptocurrency News, News
Related Articles