BlackRock’s inclusion of US banks in Bitcoin ETF prompts BTC price surge at $66K

Bitcoin (BTC) disregarded signs of inflation in the United States on April 5 as excitement grew over potential institutional investment. The price of BTC/USD rose to $68,630 after the opening of Wall Street, reaching $68,000. This surge coincided with news that BlackRock, the world’s largest asset manager, had added major U.S. banks to its spot Bitcoin exchange-traded fund (ETF). The banks listed in the filing included Goldman Sachs, Citadel, UBS, and Citigroup. This development is likely a result of the success and popularity of ETFs. As of April 4, the nine new products held over 500,000 BTC, excluding assets in the Grayscale Bitcoin Trust (GBTC), which was recently converted into an ETF. The entrance of BlackRock into the Bitcoin market helped protect its price from the latest signals of inflation in the U.S., such as above-expected employment data. This suggests that the Federal Reserve will keep interest rates higher for a longer period. The probability of a rate cut in 2024 has been pushed back toward the end of the year. The chances of a June cut were just over 50% at the time of writing, down 10% from earlier in the week. Market analysis shows that if the BTC price breaks $69,000, the situation becomes unpredictable. Currently, there is significant selling pressure beyond this level. However, if the price manages to break $69,000, it could lead to further upside continuation. This article does not provide investment advice, and readers should conduct their own research before making any investment decisions.