MUMBAI: As the list of applications to launch cryptocurrency ETFs by some of the world’s largest asset managers with the US markets regulator is growing, hopes are rising that soon, some of these applications will be cleared, giving a fillip to the prices of cryptocurrencies.
This is one of the major reasons for the recent surge in the price of cryptocurrencies, led by Bitcoin– the oldest and the most adopted around the world.Talks about theUS Federal Reserve ending its rate hike spree is also aiding its rally, market players said.
This is one of the major reasons for the recent surge in the price of cryptocurrencies, led by Bitcoin– the oldest and the most adopted around the world.Talks about theUS Federal Reserve ending its rate hike spree is also aiding its rally, market players said.
On Monday, the price of Bitcoin regained the $41,000 mark for the first time in more than 18 months, data showed. Since early 2022, as a series of scandals relating to Bitcoin and other cryptocurrencies surfaced, and several governments and central banks rushed in to curb their usage and trading, the price had fallen from a life-high of $66,000 to below $17,000.
The US Federal Reserve’s rate hike cycle started around the same time, and also weighed on the price of cryptocurrencies as higher rates indicated the end of availability of easy money for trading these risky assets.
So far in the year, Bitcoin is up about 152% – its second-best year in terms of gains, behind a 302% rise in 2019.