Bucharest, October 23, 2023 – by Simon Peters, cryptoasset market analyst at eToro – Bitcoin saw significant gains over the past week, currently trading at around $30,700 – a rise of $3,000 since last Monday.
Excitement around the spot ETF decision has been mooted as a reason for the surge, with JP Morgan stating that an approval will be made before January 10th 2024.
While false reports about an approval caused an initial spike last week, it seems bitcoin’s momentum has continued as the market builds towards the monumental potential ETF approval.
Ether also saw positive movement as the market adopted a more bullish sentiment, gaining around 4%, and currently trading at around $1,660 on eToro.
Week ahead
Coming up this week we’ve got US GDP on Thursday, which could attract the interest of markets.
All eyes will be on the U.S. Bureau of Economic Analysis as they release the latest figures, indicating the health of the U.S. economy. At this moment in timebad news is good news for crypto – when data is showing the economy contracting or performing mildly, bitcoin in particular rallies or holds its value. Conversely, when GDP is strong, the largest cryptoasset by market value then falls, due to the threat of interest rates being held at high levels for longer, due to continued spending power.
Following last week’s momentum, this week could be pivotal in seeing if crypto has turned a corner and is moving out of its crypto winter (more on that below) or if more caution is yet present in the market.
Eye-catching stories
Bitcoin Spot ETF could add $1 Trillion to crypto market – The total cryptoasset market will grow by $1 trillion if the bitcoin spot ETF gets approval, data analytics firm CryptoQuant has claimed. The firm has estimated that if the issuers that have applied to list bitcoin ETFs put just 1% of their Assets Under Management into the ETF, circa $155 billion could enter the market.
This would make bitcoin a $900 billion asset, increasing its market capitalisation by almost a third.
Crypto spring may be on the way – Morgan Stanley Wealth Management dealt some good news to the market this week, with a report on its website stating the cryptoasset bear market might finally be coming to a close.
Europeans can soon pay for Ferraris via crypto, following demand fueled by wealthy clients – Ferrari will accept payment in cryptoassets across the U.S. and in time, Europe, following requests from wealthy customers, it’s been reported.
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