June 21 (Reuters) – Bitcoin is backed by BlackRock’s (BLK.N) bitcoin exchange-traded fund (ETF) plans in mid-April despite facing U.S. regulation. After hitting its highest since then, it has rebounded for three days in a row. scrutiny.
BlackRock, the world’s largest asset manager, filed an exchange application last week that would allow investors to acquire shares in the asset class. The Wall Street Journal reported Tuesday that cryptocurrency exchange EDX Markets, backed by Citadel Securities, Fidelity and Schwab, Start operation.
The global cryptocurrency industry is under scrutiny by US securities regulators for alleged violations of securities laws. Earlier this month, the U.S. Securities and Exchange Commission (SEC) sued major cryptocurrency exchanges such as Coinbase and Binance.
Bitcoin, the world’s largest and best-known cryptocurrency, rose 5.5 percent to 29,881.00 after hitting a high of $30,755.00 on Wednesday. Year-to-date, it’s up about 81%.
“It started with BlackRock’s Bitcoin ETF application, and now other companies are following suit,” said Edward Moya, senior market analyst at OANDA. “Seeing BlackRock make a move, who needs regulatory clarity?”
But he said that while “bitcoin’s momentum may last a little longer,” the sector “needs good news from the SEC to reach its sustained upside target in the mid-$30,000 region.” warned.
Ether, the coin linked to the Ethereum blockchain network, surged 4.8% to $1,877.70.
Reporting by Jubby Bab in Bangalore and Megan Davis and Sinead Carew in New York. Additional reporting by Hannah Lang.Editing: Chris Reese and Richard Chan
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