Fidelity’s ETF Amendment Fuels Bitcoin’s Climb Toward $29,000

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In the last 24 hours, the largest cryptocurrency has seen a 2.8% increase, propelling it to a two-month high and leading the gains among major tokens. This surge extended its weekly rally to nearly 7%. Fidelity, a prominent asset management giant, filed an amendment to its proposed spot bitcoin ETF, the Wise Origin Bitcoin Trust, with the U.S. Securities and Exchange Commission (SEC) on Tuesday. The amendment specifies how Fidelity intends to safeguard customers’ bitcoin in custody accounts and disclose potential risks tied to the regulatory uncertainty in the cryptocurrency space, among other factors.

 

Fidelity’s actions follow similar moves by Ark Invest and Invesco, both of which recently amended their filings for spot bitcoin ETFs. Invesco made its refiling on October 11, and Ark Invest followed suit a day later. These developments indicate ongoing discussions between prospective ETF providers and the SEC, which has contributed to fostering a positive sentiment among traders and market observers. James Seyffart, a research analyst at Bloomberg Intelligence, expressed optimism about these developments, seeing them as encouraging signs of progress.

 

Earlier this week, there was widespread speculation that a spot bitcoin ETF might gain regulatory approval. This speculation led to nearly a 10% surge in bitcoin prices, reflecting the “pent-up” investor interest in the crypto market, as noted by BlackRock CEO Larry Fink. Interestingly, bitcoin’s prices continued to rise even after it became clear that the rumor was unfounded.

 

In the midst of this, some analysts are predicting that Bitcoin could reach $29,400 in the coming days, attributing this to an increase in trading volumes. Alex Kuptsikevich, a senior market analyst at FxPro, commented, “We continue to see continued elevated trading volumes. We view this as good news, given that the price is not high by historical standards. It is an influx of fresh buyers rather than an active exit from the market.”

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