New York, Oct 24: Bitcoin is rocketing higher, topping $35,000 for the first time since May 2022. It’s up 20 per cent over the past five days, a media report said.
The famously volatile cryptocurrency has more than doubled in value this year as investors grow excited about the prospect of being able to buy bitcoin funds that trade on good old-fashioned stock exchanges rather than having to deal with less-regulated and sometimes sketchy crypto platforms, CNN reported.
BlackRock applied in June to register a bitcoin spot ETF, which is pending approval. The company is the largest provider of ETFs in the world, managing trillions of dollars of assets. A BlackRock bitcoin ETF would give the cryptocurrency a new sense of legitimacy.
“This listing in the DTCC does not mean that the fund has actually been launched or that this will inevitably happen,” said Samer Hasn, market analyst at online brokerage XS.com.
“However, it may appear as part of BlackRock’s preparations to launch the ETF soon,” Hasn said, CNN reported.
Other companies have also applied for approval to launch similar bitcoin ETFs, including Grayscale Investments.
There’s another reason why bitcoin may be rising: Fear.
As investors look to diversify their portfolios in uncertain times, some turn to bitcoin, ironically as a kind of digital safe haven. Sometimes dubbed “digital gold", bitcoin has become a way for investors to branch out beyond traditional stocks and bonds, CNN reported.