Bitcoin surged nearly 8.33% in the last 24 hours, reaching $29,024.97 after dropping below the point on May 6, 2023. This has been an excellent year for BTC price action as it has increased by 75.62%. Blackrock’s filing for BTC ETF and the launch of EDX Markets (EDXM) are believed to be driving factors of the rally.
Bitcoin Breaks $28,000 Barrier, Market Rejoiced
The recent collaboration between Fidelity, Citadel, and others has resulted in the launch of a new crypto exchange called EDX Market. This exchange allows traders to trade in crypto assets using their brokerage accounts. Peter Schiff, CEO of Euro Pacific Capital Inc. and also a well-known American stock broker, thinks that the utility of such an exchange would be short-lived.
#Bitcoin surged above $28K today on news Wall Street firms are creating an exchange that will allow speculators to trade #crypto though their brokerage accounts. I doubt there’ll be much long-term demand for this exchange. More ways to gamble with Bitcoin doesn’t give it value.
— Peter Schiff (@PeterSchiff) June 20, 2023
The asset management giant BlackRock filed for BTC Exchange Traded Fund (ETF). The Nasdaq Stock Exchange filed with the U.S. Securities and Exchange Commission (SEC) for approval of iShares Bitcoin Trust of BlackRock on June 15, 2023. Coinbase Custody Trust Company will be acting as the custodian in the Commodity-Based Trust Shares product.
A significant difference between EDXM and other crypto exchanges is that it stays away from taking custody of customers’ digital assets. It allows users to go via intermediaries to trade crypto assets, similar to the New York Stock Exchange (NYSE) and NASDAQ. The new type of crypto exchange was first announced in September 2022, creating headlines.
It garnered investments from significant TradFi firms like Schwab, Fidelity, Sequoia Capital, and Citadel.
BTC is trading at $29,024.17 at press time, gaining 8.33% in 24 hours and around 11.55% in the last seven days. Its value against Ether swelled by 3.05% to 15.97 ETH. The market cap of the darling cryptocurrency gained 8.08% and rose to $562 Billion, and the trading volume saw a massive jump of 80.81% to $27.15 Billion. Ranking at number 1, its market dominance is about to cross 50% again.
Whenever BTC rallies, it spreads positive sentiments across the market, but such a sudden rise creates uncertainty among enthusiasts. Crypto investor Schiff argues that even though BlackRock ETH and EDXM appear to be the driving forces behind the rally, other factors should also be considered.
The recent lawsuits against Coinbase and the world’s biggest crypto exchange deviated investors towards BTC. Furthermore, the regulatory actions by the SEC against the industry are helping people reassure their trust in the world’s biggest cryptocurrency by market cap.
Bitcoin – Candle Exploration
Since April 2023, BTC has consolidated in a downward-sloping channel and finally registered a breakout. Although it broke the $28k barrier, going above the crucial resistance of $29,675.08 will be difficult as it was the previous high. If the price breaks this barrier, the BTC price could enter the supply zone, thereby creating new highs.
If the price drops, it could bounce off EMA or even go through S1 which is presently at $24,670.65. However, a further reduction is unlikely, considering the current rally.
Disclaimer:
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/06/21/bitcoin-over-29k-rallying-hard-peter-schiff-raises-concern/