The Bitcoin price rallied after institutions made moves to enter the crypto industry.
BTCUSD: Weekly Chart
The Bitcoin price found support at $25,800, and that led to a move through resistance this week. The next target for BTC is the highs of late March or April, which are above $30,000.
The world’s largest cryptocurrency by market cap saw its highest price since May as asset management giant BlackRock filed an application for an exchange-traded fund (ETF). The company wants to add a Bitcoin trust to its popular iShares ETF collection. The company filing said that the crypto exchange Coinbase would handle custody of the physical Bitcoin that will back the investment product.
However, the application may not see a quick introduction as the SEC is currently in a court battle with digital asset manager Grayscale. The SEC has refused to allow a spot-based Bitcoin ETF from other firms.
The regulator says that the futures market is better policed, but BlackRock wants to do a surveillance-sharing deal with Nasdaq for its own offering, which may smooth the passage for its iShares Bitcoin Trust.
Another institutional development in crypto has been the arrival of a new crypto exchange backed by Fidelity, Charles Schwab, and Citadel. EDX Markets was launched after nine months of building the platform, and both of these developments could see additional volumes flowing into digital assets by the end of the year.
The new exchange currently has only four tokens available: Bitcoin, Ethereum, Litecoin, and Bitcoin Cash, due to the lack of regulation in the US.
“We have a limited set of tokens because, until there is more regulatory clarity, we don’t want to trade something that’s potentially a security, ” said EDX CEO Jamil Nazarali. “Regulators really like that we don’t take that risk.”
