Traders review Bitcoin’s outlook after hyped ETFs went live
Bitcoin recently experienced its most notable decline in approximately a month, coinciding with the diminishing excitement surrounding new US exchange-traded funds (ETFs) for the largest digital asset. The cryptocurrency oscillated between gains and losses, eventually settling around $42,655 as of 1:42 p.m. on Monday in Singapore. This marked a three-day consecutive drop through Sunday, marking the lengthiest losing streak since mid-December. In contrast, smaller cryptocurrencies exhibited mixed performances, with Ether sliding and BNB advancing.
The initiation of nearly a dozen ETFs, featuring contributions from investment heavyweights such as BlackRock Inc. and Fidelity Investments, commenced trading on January 11. Bitcoin briefly surged to a two-year high above $49,000 following their introduction, only to start retreating shortly thereafter.
Proponents of Bitcoin as a store of value argue that the introduction of the first US spot ETFs for the token signifies increased investor access to the cryptocurrency. However, skeptics point to the deep crypto crash and subsequent bankruptcies witnessed in 2022 as reasons for exercising caution regarding broader adoption, despite a partial market rebound last year. The ongoing debate over Bitcoin's role and future trajectory continues to shape market sentiment.
The initiation of nearly a dozen ETFs, featuring contributions from investment heavyweights such as BlackRock Inc. and Fidelity Investments, commenced trading on January 11. Bitcoin briefly surged to a two-year high above $49,000 following their introduction, only to start retreating shortly thereafter.
Proponents of Bitcoin as a store of value argue that the introduction of the first US spot ETFs for the token signifies increased investor access to the cryptocurrency. However, skeptics point to the deep crypto crash and subsequent bankruptcies witnessed in 2022 as reasons for exercising caution regarding broader adoption, despite a partial market rebound last year. The ongoing debate over Bitcoin's role and future trajectory continues to shape market sentiment.
