The notorious cryptocurrency, Bitcoin, surged on Wednesday to nail a fresh all-time high, even as rampant volatility continued.
The price of the crypto rocketed above $35,000 Tuesday night, reaching an intraday high of $35,821, according to data from Coin Metrics. It subsequently fell back below the $35,000 level, mitigating gains slightly, Wednesday morning, but has since retaken the key level just after 1:30 PM EST.
For years, there has been hope for a Bitcoin ETF to be approved, and for years regulators have continued to kill that dream, citing concerns over market volatility, industry manipulation, and thin liquidity.
Don’t Give Up Hope
“All indications from the SEC are that a bitcoin ETF still faces an uphill battle,” said Nate Geraci, president of the ETF Store, an investment advisory firm. “That VanEck has the confidence to file for a Bitcoin ETF might indicate some shifting viewpoints within the SEC. Clearly, a key to watch as this drama continues unfolding is whom President Biden taps as SEC chair.”
With the Georgia runoff in the news today, some experts also see a Democratic Congress as a boon for Bitcoin.
Scaramucci, a former White House communications director, added that Democratic control of Congress would be “great” for cryptocurrencies due to projections of “tremendous” money printing under a federal government controlled by the party.
According to the filing, VanEck’s ETF is set to hold Bitcoin and will value its shares based on prices contributed by exchanges that MV Index Solutions GmbH believes represent the top five exchanges for the cryptocurrency.
Such an ETF “could be taken as bullish for Bitcoin because it does broaden the universe of investors who could be aware of Bitcoin,” said Everett Millman, finance expert with Gainesville Coins.
For more market trends, visit ETF Trends.