ETF debut with the strongest ever performance

ETF debut with the strongest ever performance

ProShares’ Bitcoin Strategy ETF saw around $1 billion in activity on its maiden day, with 24.313 million BITO shares changing hands. ProShares’ Bitcoin Strategy exchange-traded fund (BITO) had the enormous first-day “natural” volume for an ETF. It reached slightly more than $1 billion by the conclusion of the first day.

It ranks second overall, trailing only the Blackrock U.S. Carbon Transition Readiness ETF, which had $1.16 billion in trading on its introduction in April. The starting price of the ProShares Bitcoin futures-based ETF on the New York Stock Exchange was $40.88. According to TradingView data, BITO completed the day at $41.94, with a total of 24.313 million shares traded. This corresponded to the first-day volume of little more than $1 billion.

In response to the BITO’s first-day performance, senior ETF analyst Eric Balchunas tweeted that ProShares’ ETF had the most natural or grassroots interest. Blackrock’s U.S. Carbon Transition Readiness ETF (LCTU) April launch volume, according to Balchunas, was “unnatural” because it was driven by “one pre-planned huge investor.”

LCTU’s daily volume decreased to between $2 million and $6 million in the days following its debut. BITO allegedly received $570 million in inflows on an opening day, implying that ProShares’ ETF might rank as an industry heavyweight in terms of year-one net flows for a first-to-market single commodity ETF in 12 months.

According to FactSet data, gold and silver are the top two single commodities ETFs, with year-one flows of $3 billion and $1.7 billion, respectively.

SEC’s sister agency

Following the introduction of ProShares’ ETF on Tuesday, U.S. Securities and Exchange Commission (SEC) chairman Gary Gensler explained why he and the SEC prefer ETFs backed by Bitcoin futures over the spot price of BTC in an interview.

SEC’s sister body, The Commodities Futures Trading Commission, has supervised the BTC futures for the past four years. You have something that a federal regulator has regulated for the previous four years. It’s also been tangled up in the SEC’s jurisdiction through the Investment Company Act of 1940. This week, Valkyrie’s Bitcoin futures-based ETF will be the second product to join BITO on the NYSE.

Ethereum (ETH)

Ethereum price has shown a big bullish target on the daily chart, indicating that ETH should rise toward $6,400. However, there is one crucial resistance level the token needs to overcome to catapult further into the price discovery area. On the daily chart, Ethereum price has formed a cup-and-handle formation. This indicates that ETH is preparing for a significant bullish move higher. The current chart pattern forecasts a 60% increase to $6,394 by measuring the depth of the cup.

The rising triangle pattern is also visible on the daily chart. It lends credence to the bullish view. It is formed by linking the previously mentioned five-month resistance trend line and the ascending trend line since July 20.

The Arms Index (TRIN), which measures general market sentiment, indicates more buyers than sellers in the market, indicating the asset’s increasing popularity.

The psychological $4,000 level is a significant barrier to Ethereum’s price. Only a determined upward advance backed by a substantial increase in buying demand might propel ETH above its all-time high price of $4,360.

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