Bitcoin, up 17.77% from June 16 to June 23, was trading at US$30,079 at 7:00 p.m. ET on Friday in Hong Kong. The world’s largest cryptocurrency by market capitalization broke above US$30,000 for the first time since April 19. Ether gained 12.61% to US$1,879 during the week.
The business regulator of the US state of Nevada issued a cease-and-desist order to crypto custodian Prime Trust on Wednesday, alleging that the company could not honor customer withdrawals. The move raised market concerns as Prime Trust was the technical partner of TrueUSD (TUSD), the fifth largest stablecoin by market cap. On Thursday, TrueUSD Said It has no exposure to Prime Trust and the firm maintains a number of USD rails for minting and redemption.
Following the news, bitcoin fell to a daily low of $29,689 around 11:55 p.m. Thursday but recovered above $30,000 as investors remained upbeat following one of the most eventful weeks this year. In which notable Tradefi alumni entered the crypto sector.
The wave of institutional adoption began last week, when BlackRock, the world’s largest asset manager, applied for a spot bitcoin ETF on June 15, which, if accepted, would make it the first publicly traded bitcoin in the US market. Product will be Bloomberg reported on Tuesday that earlier this week Germany’s largest bank, Deutsche Bank, also applied for a license to operate a crypto custody service.
Crypto market analyst and founder of consultancy firm Betz Crypto, Jonas Betz, said, “The turmoil of 2022 has resulted in a decline in trust in crypto-native institutions, creating a major opportunity for traditional financial institutions to enter the crypto market ” Forecast In response to LinkedIn.
“Initiatives such as Deutsche Bank applying for a digital asset custody license should improve investor sentiment… Overall, regulation and institutional players will encourage fiat money to flow into the crypto sector in the long run, which will drive prices higher. “
EDX Markets, a crypto exchange backed by major Wall Street players such as Citadel Securities, Fidelity and Charles Schwab, officially launched in the US on Tuesday, despite the recent regulatory crackdown on crypto.
New York-based asset management firm WisdomTree also filed an application for a bitcoin ETF on Tuesday, a day before Valkyrie Investments filed its spot bitcoin ETF application. Rumors are circulating that Fidelity is also preparing its own application.
James Wu, founder and CEO of crypto investment firm DFG, said BlackRock’s move means “old money” from traditional finance is entering the crypto sector.
“If the application can be approved, it shows that the SEC is not just cracking down on cryptocurrencies, but that SEC regulation will help advance the maturity of the industry, and more products similar to ETFs will emerge, which will benefit the industry.” is a huge benefit for ..” Wo wrote in a statement shared with Forecast.
More rumors are circulating about Fidelis building its own spot bitcoin ETF application, said Kadan Stadelman, chief technical officer at blockchain infrastructure development firm Komodo.
“This move could be a sign of institutional players joining the crypto market and may indicate an increase in institutional interest. The potential approval of a bitcoin ETF has been highly anticipated by many industry experts as it could lead to more mainstream adoption of cryptocurrencies,” Stadelman wrote in a statement. Forecast.
According to CoinMarketCap data, the global crypto market capitalization stood at US$1.17 trillion at 7:00 PM Hong Kong on Friday, up 12.5% from US$1.04 trillion a week ago. With a market capitalization of US$583 billion, bitcoin represented 49.9% of the market, while ether, valued at US$225 billion, contributed 19.3%.
Notable movers: PEPE and STX
Pepe, the most trending memecoin of the year, was the biggest loser in the top 100 this week. Pepe started gaining momentum on Wednesday, surging 64.49% to $0.000001537, as risk appetite returned.
STX, the native token of the bitcoin smart contract layer Stacks, was the second biggest gainer of the week. The coin began rallying on Tuesday, boosted by bitcoin’s bullish momentum with recent spot bitcoin ETF applications from the likes of BlackRock.
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Next Week: More Bitcoin ETF Applications Coming?
Komodo’s Stadelman said institutional interest in crypto is on the rise due to developing regulations and growing customer demand.
“Major financial institutions such as Goldman Sachs and Morgan Stanley have also expressed interest in offering crypto-related products to their clients. Furthermore, the recent rally in the price of bitcoin has further fueled interest from institutional investors looking for exposure to this emerging asset class,” Stadelman wrote.
Jamie Coutts, a senior market structure analyst at Bloomberg Intelligence, said bitcoin is in an early bull market and expects the cycle to last until November 2025.
“Bitcoin will likely absorb a greater share of the global economic base, adding value to traditional banking and payment providers,” Coutts wrote.
Next week, investors will be looking forward to speeches from key Federal Reserve officials, including Fed Chairman Jerome Powell and Atlanta Fed President Raphael Bostic, for signals on the health of the world’s largest economy.
European investors will be looking to a speech by European Central Bank President Christine Lagarde for hints on the bloc’s future monetary policy decisions.
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