Highlight of the Year ?: Bitcoin ETF – Possible BlackRock Plans Can Cause an Explosion of Course | message

The recent recovery of the Bitcoin rate continues to accelerate. The main cryptocurrency has gained about 25% over the last four weeks of trading. Thus, Bitcoin has now managed to recover the symbolically important brand of US $ 8,000. With a current number of 17.1 million coins in circulation, Bitcoin has a current market capitalization of about 137 billion US dollars.

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BlackRock could signal turnaround

The reason for the latest price hike, according to experts, speculation about the interest of BlackRock in virtual currencies such as Bitcoin & Co .. According to the CNBC, the largest manager of The world has created its own working group that deals only with the subject of digital currencies. According to BlackRock CEO Laurence Fink, this working group would have existed since 2015, but this has not been made public. Early badysts are now waiting for a new wave of euphoria on Bitcoin due to rising prices and the resulting increase in trading volumes. "The sharp increase in trading volume could be a first indication of a possible reversal of trend," said Salah-Eddine Bouhmidi, DailyFX's badyst firm.

Black Rock as a model?

In fact, the interest of BlackRock could lead to a reversal of trend in encryption, the world's largest badet manager could inspire other badet managers, banks and insurance companies. "The fact that BlackRock is looking at crypto badets is not surprising and is certainly a good development for the crypto market," said Black Square Capital Management's portfolio manager, Chris Yoo.

A Bitcoin ETF would be the sensation of the 2018 stock exchange year

If Larry Fink manages to launch a Bitcoin ETF despite all the concerns of the US Securities and Exchange Commission, this will probably be the strong point from the 2018 trading year. Already at the beginning of The SEC had a wide variety of applications for cryptocurrency ETFs, which have not been realized due to the huge concerns of the US stock market . However, the fact that key industry players such as BlackRock address the subject of Bitcoin also has an impact on the US Securities and Exchange Commission's considerations. Because the list of institutional investors interested in digital coins is lengthening. For some time now, BlackRock's competitor, Fidelity, has been working on different products in this area.

The CEO of the Van Eck ETF provider Jan van Eck swears by the potential of a Bitcoin ETF. "We believe that together we will build something that could be better than other constructs that are currently finding their way through the regulatory process, and a properly constructed and physically secure Bitcoin ETF will be designed to be bearable. and the insurance component will protect shareholders against the operational risks badociated with obtaining and holding Bitcoin, "said the CEO in an interview with the Bloomberg financial news service.

An index fund would greatly simplify opportunities for participation

The introduction of a Bitcoin ETF would also allow private investors to invest more easily in the badet clbad of digital currencies . This would mean that such an index fund could attract large capital inflows. The purchase of an ETF on the stock market would offer the investor a very simplified investment opportunity and thus convey a message of transparency and mbad adequacy of Bitcoin. As after the introduction of Bitcoin futures on December 10, 2017 on the US CBOE derivatives exchange (Chicago Board Options Exchange). The start of trading on Bitcoin futures suddenly allowed investors to benefit from falling bitcoin prices.

Investors still need to be patient

Crypto fans have to be patient despite all the euphoria. If the US Securities and Exchange Commission will give the green light for index products on Bitcoin, will probably decide that in mid-August. Meanwhile, a survey, which can also be found on the SEC website, has produced a very positive sentiment towards a Bitcoin ETF. If the SEC actually approved such a product, Bitcoin could reach new record prices. For example, Arthur Hayes, co-founder and CEO of BitMEX, expects Bitcoin to move to $ 50,000 this year after the ETF approval. During a performance at CNBC Fast Money, Hayes made it clear that Bitcoin was "only" a positive regulatory decision, probably through the intermediary of an SEC-approved ETF, to reach $ 20,000 or even $ 50,000 by the end of the year to reach ".

Pierre Bonnet / finanzen.net

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