Bitcoin, the largest cryptocurrency asset on the planet by market capitalization, broke above the US$50,000 price point for the first time since 2021 this week. This was a milestone worth celebrating as Bitcoin and the broader cryptocurrency market has gained considerable traction since the United States Securities and Exchange Commission (SEC) approved the listing of nearly a dozen Bitcoin focused ETFs.
The launch of these Bitcoin ETFs attracted huge interest among the investing public. Indeed, these ETFs achieved a whopping US$4.6 billion in trading volume on their first day of trading. The cumulative volume for the 11 spot Bitcoin ETFs exceeded US$11.1 billion in the fourth day of trading for these assets.
Ethereum is the second-largest digital currency by market cap. This cryptocurrency has also seen its value pick up nicely in the first two months of 2024. Ethereum was trading just below US$2,800 per unit as of very early morning hours on Thursday, February 15. The worlds’ second largest cryptocurrency hit its all-time high of nearly US$5,000 per unit in late 2021. Its current price is the highest Ethereum has reached since the spring of 2022.
Unsurprisingly, big investment firms now have their eyes on Ethereum as a potential ETF target. However, SEC chair Gary Gensler has thrown cold water on that prospect. In a recent interview on CNBC, Gensler said that the Bitcoin ETF decision was based on merit. Moreover, he said that the SEC would not cherry-pick any future cryptocurrencies as it vows to make decisions based on its rules and regulations.
