The long wait for a US Bitcoin futures exchange traded fund (ETF) finally ended yesterday when the ProShares Bitcoin Strategy ETF began trading on a US exchange. At the end of the first day of trading, the ETF trading under the ticker symbol $ BITO surpassed volumes of $ 1 billion.
This ETF became the second most traded ETF in its first day. The number one position is held by the BlackRock US Carbon Transition Readiness ETF, which traded $ 1.161.734.000 in trading volumes on its first day.
The largest ETF in "natural volume"
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While it ranks as the second largest ETF in terms of trading volumes on the first day, some analysts believe it could also take the top spot.
Eric Balchunas, an ETF analyst with Bloomberg, said the trading volumes of the $ BITO ETF could be "easily the largest day-one of any ETF in terms of 'natural' volume". He noted that $ BITO's trading volumes were 95% higher than some of the other more popular ETFs such as $ ARKK, $ DIA, and $ SLV.
Balchunas said the natural volumes represented that an ETF had "basic interest". Most ETFs usually have seed capital, which is provided by large investors, but the $ BITO ETF has not received any seed capital.
The $ BITO ETF saw an incredible first day of trading. Its opening price was $ 40 and it ended the day at $ 41,94 with approximately 24 million shares traded. This represents a 4,85% price growth on the first day. Another BTC futures ETF is expected to debut in trading this week.
Bitcoin towards new highs
Bitcoin (quotation BTC / USD) responded positively to the news of the ETF's approval. The excitement created by this news has helped Bitcoin earn more than 23% in the past two weeks. Furthermore, since the beginning of the month, the currency has moved from lows of under $ 41 to its current highs. Data shows that Bitcoin has tested the six-month high of $ 64 and is only $ 800 from creating a new all-time high (aka ATH).
With another ETF expected to debut this week, we could see Bitcoin heading towards more record highs and perhaps the expected $ 100.000 could be hit by the end of the year.
And what do you think of this new rally of the prince digital currency? Do you think at this point we can reach $ 100 by the end of the year, as predicted by some? Let us know in the comments section below.
