Bitcoin Tops $64,000 as Futures ETF Trades on Wall Street

Bitcoin Tops $64k

Created by TradeOr

3rd Party Analysis 20 Oct 2021

Key Takeaways:

  • Bitcoin price rallies above $64,000, trades less than $500 away from record high
  • The first Bitcoin futures ETF is now trading in the stock market

What’s Today’s News in Crypto?

The first-ever Bitcoin ETF made its trading debut on the New York Stock Exchange on Tuesday. Not only that, but it became the second-highest traded fund ever to land on the market.

ProShares’ Bitcoin Strategy ETF smashed the wall dividing cryptocurrencies from traditional markets. In a volatile first session, the Bitcoin-focused exchange-traded fund with a ticker BITO, rose 4.9%. Moreover, it had a turnover of almost $1bn on its first day, ranking second after BlackRock’s carbon fund.

An ETF product centered on Bitcoin was long-anticipated by both cryptocurrency backers and regular traders and investors. Now that the junction has been made, a form of bitcoin is available to wider audiences. In practice, all those who have been looking to invest in crypto in a regulated environment could now do so.

However, the ETF will be offering Bitcoin futures contracts, and not actual Bitcoin. That means investors who buy into the fund will be holding a Bitcoin derivative, instead of the underlying cryptocurrency. Still, for now, this is one of the few options for institutions to dive into the digital asset market.

What’s the Price of Bitcoin?

Against that backdrop, bitcoin made a run toward its record high. In more detail, the original cryptocurrency spiked to a session high of $64,450, just $400 shy from the all-time high below $65,000. In other words, the price of bitcoin hovered 0.6% from its peak reached in mid-April.

With that in mind, the leading token is having a stellar performance so far in October. For the past three weeks, bitcoin’s price has advanced about 50% while its market valuation has topped $1.2tn. To put this into numbers, it is now half the size of Apple. That said, the iPhone maker is the biggest company in the world with a market cap of $2.4tn.

Meanwhile, cryptocurrencies collectively are worth a little over $2.5tn, eclipsing even the most valuable company in the world.

How to Buy Bitcoin?

While bitcoin is hovering near all-time highs, projections from many analysts point that the upside move might continue. On that note, if you are looking to buy into the digital currency, head over to our comprehensive guide. There, you will find all you need to know before making your first purchase.