Bitcoin price tumbles despite positive ETF news continuing to mount
As a result of the ongoing market volatility, Bitcoin’s 30-day profit margins have dipped from 55% to just over 40%.
- Despite the release of VanEck’s much-awaited Bitcoin exchange-traded fund (ETF), the digital currency has been on the decline recently.
- Cryptocurrency exchange FTX has been able to secure an ad spot as part of next year’s Super Bowl game.
- Bitcoin’s market dominance index (DI) has slipped from over 44% to around 44.2% over the last 7 days.
Bitcoin, the world’s largest cryptocurrency by total market capitalization, has been on the receiving end of a lot of volatility over the past week. The asset dipped from an all-time high of $67,280 on October 20 to just over $61,000 at press time. Currently, BTC is trading at a price point of $61,658.
The ongoing decline comes despite a new ETF – VanEck’s Bitcoin Strategy ETF (XBTF) – making its way into the market, suggesting that more institutional involvement may be on the way. In fact, just last week when it was announced ProShares’ BTC ETF was set for release, the currency rallied heavily, taking its value well above the all-important $60,000 resistance. That being said, popular independent analyst, Rekt Capital, believes that as long as Bitcoin (BTC) is able to hover above $60,000, there is no need for any investor panic.
On the other hand, there are also analysts who believe that as long as Bitcoin does not dip below the $50,000 range, the currency can maintain its overall bullish trajectory.
A new, unique Bitcoin ETF may be coming to the market soon
As per a dossier submitted by ETF issuer Direxion with the United States Securities and Exchange Commission (SEC) yesterday, the firm has filed for a product that seeks to allow speculators to buy contracts enabling them to “short the price of Bitcoin.” The offering does not invest directly in BTC but rather holds managed short exposure position contracts issued by the CME (Chicago Mercantile Exchange).
An analyst for Bloomberg noted that Direxion’s above-stated product can be best described as an “inverse Bitcoin ETF.” They further added that the company has already released an “-1x BTC futures ETF” in Canada – referred to as BITI – that has already been met with a high degree of success.
Crypto is making its way to this year’s Super Bowl
In a somewhat unexpected turn of events, cryptocurrency exchange FTX, led by Sam Bankman-Fried, announced recently that it had secured an ad-spot on the global broadcast of the Super Bowl, which is slated to take place sometime during February 2022.
The Super Bowl game usually ranks as the highest-rated event of the year pretty much annually across the US, with the event accounting for 28 of the 30 highest-rated broadcasts in the country’s television history to date. Bankman-Fried was quoted as saying: “There is no bigger, more mainstream event to share a message like that than the Super Bowl.”
While it is still not known how much FTX had to shell out to get its ad placed on NBC’s upcoming broadcast, last year, companies had to pay around $5.5 million for a 30-second ad spot.
Disclosure: The author owns a range of cryptocurrencies at the time of writing