The cryptocurrency market has witnessed a significant resurgence, with Bitcoin extending its recent rally and surpassing the important $30,000 threshold for the second time this year. The digital asset’s value increased by almost 5% in the last 24 hours, touching a high of $30,219. One of the key factors that could have contributed to this impressive performance is the announcement by BlackRock, a global investment management corporation, that it has applied to the U.S. Securities and Exchange Commission (SEC) for a spot Bitcoin exchange-traded fund (ETF).
Among alternative cryptocurrencies, Stacks (STX), the native token of the Bitcoin layer 2 Stacks Network, outpaced its rivals, gaining 16% on the day. This surge in trading activity, coupled with Bitcoin’s positive trajectory, has led some traders to speculate that assets related to the flagship cryptocurrency, such as Litecoin and Bitcoin Cash, may also perform well in the near future.
Institutional participation in the cryptocurrency sector is growing as well, with CACEIS, the asset servicing subsidiary of major banks Credit Agricole and Santander, having recently been granted permission by French regulators to offer crypto custody services. As of June 20, the Financial Markets Authority (AMF) added CACEIS Bank to its list of registered providers. With this move, the bank joins the ranks of other conventional financial institutions, including Societe Generale’s Forge and AXA Investment Managers, that are operating within one of Europe’s most progressive crypto regulatory frameworks. As the European Union prepares to implement more stringent cryptocurrency licensing rules known as MiCA by 2024, such developments indicate a possible shift in the traditional financial sector’s approach to digital assets.
In other news, Three Arrows Capital (3AC) is making headlines with its unexpected return, this time as a venture capital (VC) firm named 3AC Ventures. The new VC firm has partnered with OPNX, a bankruptcy claims exchange co-founded by CoinFLEX executives, and aims to invest in projects that build within the OPNX ecosystem and support the transition to a decentralized future.
Bitcoin’s recent market performance has attracted the attention of analysts who are keeping a close eye on its simple moving averages (SMA). According to a market note by over-the-counter liquidity network Paradigm, traders should watch for the 12-day SMA to cross the 26-day SMA, as this has historically been a strong buy signal. This upswing in the cryptocurrency’s value, along with the growing institutional interest and involvement, is fueling optimism about the future of digital assets. However, it is important for investors to stay vigilant amid such rapid market movements and carefully weigh the pros and cons before making investment decisions.
Source: Coindesk
