Key Bitcoin Takeaways:
- Bitcoin crosses over $66,00 for the first time in history.
- The rally prompts expectations of a further run up towards $100,000.
- Meanwhile, an analysts predict massive bearish corrections ahead.
YEREVAN (CoinChapter.com) — Bitcoin (BTC), the world’s leading cryptocurrency market cap, soared to a new record high Wednesday.
The BTC/USD exchanger rate reached $66,116 on the Coinbase crypto exchange following a 2.82% intraday pump. The pair’s move upside came as a part of an uptrend that began at the beginning of this October. As a result, the BTC price was up over 59% month-to-date already.
Traders started raising their bids for BTC/USD in anticipation that the U.S. Securities and Exchange Commission (SEC) would approve the first-ever Bitcoin-backed exchange-traded fund (ETF). As it happened, ProShares managed to gain approval for its Bitcoin Strategy ETF and launched it on the New York Stock Exchange Tuesday.
“This is an important milestone for ETFs, alongside the first equity ETF [in the U.S.] in 1993, the first fixed-income ETF in 2002, and the first gold ETF in 2004,” said Michael Sapir, CEO of ProShares, which manages $65 billion in ETFs.
The Bitcoin ETF debuted strongly on Wall Street, closing its first day at a 4.7% profit as it attracted $570 million worth of assets, the second-largest for any new ETF on record. Its performance raised Bitcoin’s bullish prospects across the board, with stocks linked to the cryptocurrency outperforming its traditional peers.
Bulls vs. Bears
In the wake of its ETF launch, Bitcoin’s price boom prompted prominent crypto bull, Tom Lee, to predict its prices at $100,000 by the end of 2021. The Fundstrat Global Advisor co-founder also said that Bitcoin ETFs, on the whole, would attract at least $80 billion inflows in the next 12 months,
Meanwhile, the rally also prompted crash warnings from bears, with noted analyst Mr. Whale commenting:
“Get ready for the moon boys to start begging retail to take out mortgages, sell their wife & kids, and open x100 long positions. Buy Low, Sell High. Don’t get sucked into a manipulated bubble that is being propped up by Tether and Fake Narratives.”
