News
Bitcoin price soars on $100,000 speculation as ETFs support crypto rally
Bitcoin is nearing its March all-time high above $73,000. (Reuters/Reuters)
Bitcoin (BTC-USD) rose more than 5% over the past week to a high of $71,240 (£55,739) in early trading on Thursday, following a surge in exchange-traded fund (ETF) inflows.
Other crypto ether tokens (ETH-USD) and Solana (SOL-USD) increased by 3% and 4% respectively over the same period, according to Coingecko data.
Learn more: What are Bitcoin ETNs?
Galaxy Digital CEO and cryptocurrency billionaire Michael Novogratz said Bloomberg Televisionthat bitcoin could surpass $100,000 by the end of this year, if the digital asset’s price rises above its March all-time high of $73,000 and politicians begin to look more favorably on crypto.
“If we take out $73,000 over the next week, we’ll end the year at $100,000. Somewhere around there, if not higher,” Novogratz said Tuesday. Forecasts suggest a gain of around 40% from Wednesday’s current price.
Crypto as an electoral issue
Novogratz added that he expects two factors to trigger a new Bitcoin rally. “More regulatory clarity, which I thought was a low probability at this point, and/or the Fed would start to act. We’re getting regulatory clarity, and while it’s not perfect, we have enough that “People now realize it’s happening,” he added.
He said political sentiment toward the crypto ecosystem in the United States is changing due to lobbying efforts and the growing role of crypto in financing elections.
“The scale got bigger. That’s why the Democrats woke up. There was about $150 million on the way to $250 million in these crypto Super PACs,” he said.
Learn more: How crypto’s faster payment systems are influencing banks
According to a blog post On Monday, the American cryptocurrency exchange Coinbase (PIECE OF MONEY) recently donated $25 million to Fairshake’s PAC. The lobbying money is aimed at supporting the campaigns of crypto-friendly congressional candidates in upcoming US state primaries. “Fairshake supports candidates committed to making the United States the home of innovators who are building the next generation of the Internet,” Fairshake’s website states.
The story continues
Bitcoin ETF
Spot bitcoin ETFs in the United States recorded a total daily net inflow of more than $488 million on Wednesday. This is the 17th consecutive day of net inflows for these funds, matching the longest streak of positive flows seen earlier in the year. Faithfulness (FBTC) led the collections with $221 million, followed by BlackRock (I BITE) with $155 million, according to SoSoValue data.
Learn more: What is a spot Bitcoin ETF and why did it spark a crypto rally?
Ark Invest and 21Shares’ (ARKB) generated $71 million, while Bitcoin ETFs managed by VanEck and Invesco reported single-digit net inflows.
The United States Securities and Exchange Commission (SEC) approved the first US-listed ETFs to track bitcoin in January. Investors anticipate that these financial products could open the door for traditional capital to flood the crypto market.
Learn more: What are Bitcoin rune engravings?
Currently, financial interest in digital assets in the United States appears favorable, with fund managers such as BlackRock (BLACK) and Franklin Templeton (BEN), increasing their allocations to bitcoin via ETFs.
VanEck predicts ether could reach $22,000 by 2030
Asset manager VanEck has set a new price target for ether (ETH-USD), the native token of the Ethereum network, to $22,000 by 2030. This represents a significant increase from its level of around $3,845, at the time of writing.
The global investment firm wrote in a recent report that ether could reach the $20,000 mark due to its disruptive power and the cash flow generated for token holders.
Learn more: Bitcoin ETFs Ready to Welcome US Pension Fund Inflows, Standard Chartered Analyst Says
“Driven by a strong value proposition to entrepreneurs, the Ethereum network is likely to continue its rapid growth in market share against traditional financial market players and, increasingly, big tech. If it does so while maintaining its dominance among smart contract platforms, we see a credible path to $66 billion in free cash flow for token holders supporting $2.2 billion in assets or 22 000 dollars per piece, by 2030,” VanEck said. report said.
Learn more: Live cryptocurrency prices
The SEC approved ether spot exchange-traded funds (ETFs) on May 23. However, unlike Bitcoin ETFs, which began trading the day after their approval in January this year, Ether ETFs may not be traded on global exchanges for a few weeks or months.
Watch: What the debut of Bitcoin ETNs on the London Stock Exchange means for the European crypto market
Download the Yahoo Finance app, available for Apple And Android.