Tag: Futures

SEC approves Valkyrie’s Bitcoin futures ETF

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The United States Securities and Exchange Commission has given the green light to Valkyrie’s futures exchange-traded fund (EFT) application. This represents another ETF that has been approved by the SEC, which has previously accepted futures ETFs, but no sign of spot ETFs yet. As per the SEC document published Thursday, the application was filed under the Securities Exchange Act of 1934 using a 19b-4 form, the same law that spot Bitcoin (BTC) ETF prospects are relying on — albeit with little success thus far. Last month, the watchdog gave the…

Descending channel pattern and weak futures data continue to constrain Ethereum price

Despite bouncing from a 45-day low on April 30, Ether (ETH) price is still stuck in a descending channel and the subsequent 9% gain over the past four days was just enough to get the altcoin to test the pattern’s $2,870 resistance. Ether/USD price at FTX. Source: TradingView Federal Reserve monetary policy continues to be a major influence on crypto prices and this week’s volatility is most likely connected to comments from the FOMC. On May 4, the United States Federal Reserve raised its benchmark overnight interest rate by half…

Why Bitcoin Futures And Spot Signals Don’t Match Up

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Bitcoin price bounced to the tune of 5% following yesterday’s Federal Reserve meeting. However, the move has almost fully retraced. What’s interesting about the situation, is that traders at one particular platform could have seen this coming a lot more clearly, while others might have suffered a fake out. Here is a closer look at a comparison between BTCUSD spot index price charts and BTC CME Futures that puts a spotlight on the strange discrepancy. We also shed some light on how to possibly take advantage when these instances occur.…

Valykrie’s Bitcoin Futures ETF Gets SEC Approval, Following Teucrium Nod

Valkyrie filed its application using the Securities Exchange Act of 1934, filing a 19b-4 form with the SEC. Most of the previously-approved bitcoin futures ETFs filed by other companies were under the Investment Company Act of 1940, which follows a slightly different regulatory pathway to approval. Valkyrie is the second ETF to win approval with the older law, following Teucrium. Both companies also filed under the so-called “33 Act.” Source

Bitcoin Futures Basis Nears One-Year Lows, How Will This Affect BTC?

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In late March/early April, the bitcoin futures basis had mounted an impressive recovery that pushed sentiment back into the positive. This had come after months of a declining futures basis, so this recovery was a welcome development in the market. This would prove to be short-lived, however, as the futures basis had taken a sharp nosedive in mid-April. Now, it is falling towards one-year lows, leaving in its wake a trail of wary investors. Nearing One-Year Lows Bitcoin’s drop back into the $30,000 has had a profound impact on the…

How Bitcoin Futures Premiums Exhibit Signs Of Market Exhaustion

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Bitcoin futures premiums have been consistently trending in the low for some time now. There have been instances where they have broken out of this trend of low performance, but they seem to fall right back in. This does not spell all bad news for the futures premiums as it hints at exhaustion coming. This is attributed to the premiums trading close to yearly lows indicating that it is nearly a point of exhaustion across the board. Bitcoin Futures Premiums Down The reason behind the bitcoin futures premiums being down…

Optimism for US Spot Bitcoin ETF Grows With Approval of Teucrium Futures Fund

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“The SEC is now not only comfortable with futures-based ETFs regulated under the 40 Act and all the investment protections there, but also futures-based ETFs regulated under the 34 and the 33 Act, the same act that these spot-based ETFs will be regulated under,” said Craig Salm, chief legal officer for Grayscale Investments, which is trying to get its Bitcoin Trust (GBTC) converted into a spot bitcoin ETF. Digital Currency Group, Grayscale’s parent company, also owns CoinDesk as an independent subsidiary. Original

Bitcoin spot vs. futures ETFs: Key differences explained

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The Bitcoin spot ETF does not yet exist, with crypto companies proposing various concepts to the Securities and Exchange Commission (SEC) over the years. However, a few companies have legitimized the Bitcoin futures ETF.  Crypto companies have fought to legitimize a Bitcoin spot ETF in the United States for years, but the SEC has yet to give in despite its recent two allegedly “crypto-positive” chairmen.  For instance, Jay Clayton, who was head of the SEC from May 4, 2017, to December 23, 2020, is a fan of Bitcoin as a…