“ETFs are securities that track an asset and can be bought or sold on a stock exchange, and they simplify access to cryptocurrencies for retail investors“– Paul Ebeling
Bitcoin hit a 6-month high and is within striking distance of its all-time high early Tuesday as traders bet the listing of the 1st bitcoin futures-based US ETF could herald investment flows into cryptocurrencies.
The ProShares Bitcoin Strategy ETF on NYSE Arca, owned by Intercontinental Exchange Inc, listed on Tuesday under the ticker BITO.
The new ProShares ETF opened at $40.88 and was last at $41.64.
Bitcoin, the world’s biggest cryptocurrency, is currently $64,008.77 after the listing, its highest since mid-April and near its record of $64,895.22.
Known throughout its 13-yr life for its volatility, bitcoin has risen by some 40% this month on hopes the advent of bitcoin ETFs will see billions of dollars managed by pension funds and other large investors flow into the sector.
Bitcoin futures rose 1.2%, last trading at $62,380.
This will attract more cash and carry opportunities, leading to buying pressure in the spot market driving the price due North.
Crypto ETFs have launched this year in Canada and Europe amid surging interest in digital assets.
Have a prosperous day, Keep the Faith!