BitcoinWorld Crypto ETFs: 21Shares’ Pivotal Momentum with New SEC Filings for FTSE Indexes The world of cryptocurrency investment is constantly evolving, and a recent development from 21Shares is certainly making waves. If you’ve been following the journey of digital assets into mainstream finance, you know that the approval of a Crypto ETFs has been a long-awaited milestone. Now, we’re seeing significant strides towards that future, potentially opening new avenues for investors seeking exposure to this dynamic asset class. What’s Behind 21Shares’ Latest SEC Filing? On July 18, 21Shares US, a prominent player in the digital asset ETP space, announced a significant move that could reshape the landscape of cryptocurrency investment . They filed a registration statement with the U.S. Securities and Exchange Commission (SEC) for two innovative new funds: the 21Shares FTSE Crypto 10 Index ETF and the 21Shares FTSE Crypto 10 ex-BTC Index ETF. The first, the 21Shares FTSE Crypto 10 Index ETF , aims to track a market cap-weighted index comprising the world’s ten largest crypto assets. This means it offers broad exposure to the top performers in the digital asset space, providing a diversified entry point for investors. The second, the 21Shares FTSE Crypto 10 ex-BTC Index ETF , follows an FTSE Russell index specifically designed to exclude Bitcoin. This provides an alternative for investors seeking diversification beyond the largest cryptocurrency, focusing on the broader altcoin market. This latest SEC filing highlights 21Shares’ continued commitment to bringing regulated, accessible investment products to the U.S. market, building on their existing presence and experience in the European digital asset space. Why are FTSE Indexes Significant for These Crypto ETFs? The choice to track FTSE indexes is a critical aspect of these new filings. FTSE Russell is a globally recognized provider of indexes, known for its rigorous methodology and independent governance. Their involvement adds a layer of credibility and familiarity for traditional investors who might be hesitant about direct crypto exposure. For a Crypto ETFs to track an index from a reputable provider like FTSE Russell means: Standardization: It provides a clear, transparent, and rules-based methodology for asset selection and weighting, ensuring consistency and reliability. Credibility: Lends institutional legitimacy to the underlying crypto assets, potentially attracting a broader range of investors who trust established financial benchmarks. Accessibility: Makes it easier for financial advisors and institutional investors to integrate crypto exposure into diversified portfolios, as they are already familiar with FTSE Russell’s benchmarks. This collaboration underscores a growing trend where established financial infrastructure is adapting to accommodate digital assets, bridging the gap between traditional finance and the crypto world. What Benefits Do These New Crypto ETFs Offer Investors? These proposed Crypto ETFs could unlock several compelling benefits for investors looking to participate in the burgeoning digital asset market: Simplified Access: Instead of navigating crypto exchanges, managing private keys, or understanding complex blockchain technology, investors can gain exposure through a traditional brokerage account, just like any other stock or ETF. Diversification: The FTSE Crypto 10 Index ETF offers diversified exposure to a basket of top cryptocurrencies, mitigating risk associated with investing in a single asset. The ‘ex-BTC’ version provides an avenue for diversification within the altcoin market, catering to different investment strategies. Regulatory Oversight: Being registered with the U.S. SEC means these funds would operate under a robust regulatory framework, offering a layer of investor protection not always present in direct crypto investments. Liquidity: ETFs are generally highly liquid, allowing investors to buy and sell shares throughout the trading day at market prices, offering flexibility and ease of trading. This development is particularly exciting for institutional investors and wealth managers who have been seeking regulated and familiar vehicles for cryptocurrency investment . Navigating the Road Ahead: Challenges for SEC Filing and Crypto ETFs While the filing by 21Shares is a positive step, the path to approval for Crypto ETFs in the U.S. has historically been challenging. The SEC filing process is rigorous, and the SEC has maintained a cautious stance on spot crypto ETFs, primarily citing concerns around market manipulation and investor protection. Key considerations and potential hurdles include: Regulatory Scrutiny: The SEC will thoroughly examine custody arrangements, valuation methodologies, and the underlying market’s surveillance capabilities to ensure investor safety. Market Volatility: The inherent volatility of the crypto market remains a concern for regulators, who prioritize stability and predictability in regulated financial products. Precedent: While Bitcoin futures ETFs have been approved, a spot Bitcoin ETF (or broader crypto ETF) approval has remained elusive, setting a high bar for new filings and requiring significant reassurances regarding market integrity. Despite these challenges, the sheer volume of applications and the increasing institutional interest suggest that the approval of more diverse Crypto ETFs could eventually become a reality. Each SEC filing contributes to building a stronger case for broader acceptance and understanding within regulatory bodies. What Does This Mean for Cryptocurrency Investment? The continuous efforts by firms like 21Shares to launch regulated Crypto ETFs signify a broader trend: the mainstreaming of digital assets. Even if these specific filings face delays, they contribute to the ongoing dialogue and education of regulators, pushing the industry forward. For the future of cryptocurrency investment , this means: Increased Institutional Flow: Easier access for large financial institutions to allocate capital to crypto, potentially bringing significant new liquidity into the market. Enhanced Market Maturity: The demand for regulated products encourages greater transparency, robust infrastructure, and improved market practices in the crypto space. Broader Investor Base: Opens up crypto exposure to a wider audience of retail investors through familiar investment vehicles, reducing barriers to entry and fostering wider adoption. The journey towards comprehensive crypto integration into traditional finance is complex, but filings like these by 21Shares are crucial milestones, signaling a persistent push for innovation and accessibility in the digital asset landscape. The recent SEC filing by 21Shares for two new Crypto ETFs tracking FTSE indexes marks another significant stride in the evolution of cryptocurrency investment . While the regulatory landscape remains complex, these initiatives underscore the growing demand for regulated, accessible, and diversified digital asset products. As the industry continues to mature, such filings pave the way for broader adoption and integration of cryptocurrencies into global financial portfolios. Investors and enthusiasts alike will be watching closely to see how these developments unfold and shape the future of digital asset investing. Frequently Asked Questions (FAQs) Q1: What is 21Shares? 21Shares is a leading issuer of cryptocurrency exchange-traded products (ETPs), offering a range of investment vehicles that track various digital assets. They are known for their pioneering efforts in bringing regulated crypto products to market, primarily in Europe, and are now expanding their focus to the U.S. Q2: What are the two new Crypto ETFs 21Shares filed for? 21Shares has filed for the 21Shares FTSE Crypto 10 Index ETF and the 21Shares FTSE Crypto 10 ex-BTC Index ETF. The former tracks the top ten largest crypto assets by market capitalization, while the latter tracks the top ten largest crypto assets excluding Bitcoin. Q3: Why are FTSE indexes important for these ETFs? FTSE Russell is a globally recognized and reputable index provider. Tracking FTSE indexes lends significant credibility, standardization, and familiarity to these Crypto ETFs, making them more appealing and understandable for traditional institutional and retail investors. Q4: What are the main benefits of investing in a Crypto ETF? Key benefits include simplified access to cryptocurrencies through a traditional brokerage account, diversification across multiple digital assets, the added layer of investor protection due to SEC regulation, and the liquidity offered by an ETF structure. Q5: What challenges do these SEC filings face? The primary challenges include the U.S. SEC’s cautious stance on spot crypto ETFs, concerns about market manipulation, underlying market surveillance capabilities, and the inherent volatility of the cryptocurrency market. The approval process is rigorous and can be lengthy. Q6: When might these ETFs be approved? The timeline for SEC approval of Crypto ETFs is uncertain and can vary significantly. The SEC conducts a thorough review, and approval depends on various factors, including market conditions, regulatory frameworks, and how well the proposed ETF addresses the SEC’s concerns. There is no guaranteed timeline for approval. Did you find this article insightful? Share it with your friends, family, and fellow investors on social media to spread the word about the latest developments in Crypto ETFs and cryptocurrency investment ! To learn more about the latest crypto market trends, explore our article on key developments shaping cryptocurrency investment institutional adoption . This post Crypto ETFs: 21Shares’ Pivotal Momentum with New SEC Filings for FTSE Indexes first appeared on BitcoinWorld and is written by Editorial Team
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The on-chain analytics firm Glassnode has revealed an Ethereum indicator that reliably flagged the price bottom in advance of the recent rally. Ethereum NUPL Fell Into Capitulation Zone Earlier In a new post on X, Glassnode has talked about an Ethereum indicator from its joint report with cryptocurrency exchange Coinbase. The metric in question is the “Net Unrealized Profit/Loss,” which measures, as its name suggests, the net amount of profit or loss that the investors of the asset as a whole are holding right now. Related Reading: XRP MVRV Ratio Flashes Signal That Last Led To 630% Surge The metric works by going through the transaction history of each coin on the network to see what price it was last moved at. If this previous transfer value was more than the current spot price for any token, then that particular token is assumed be in a state of net unrealized loss. Similarly, a coin with a cost basis below the latest price is considered in profit. The NUPL sums up the degree of profit/loss involved in both cases and calculates the difference between them. When the value of the indicator is positive, it means the investors as a whole are sitting in a state of net unrealized profit. On the other hand, it being under the zero mark implies the dominance of loss in the market. Now, here is the chart shared by the analytics firm that shows the trend in the Bitcoin NUPL over the past few years: As is visible in the above graph, the Ethereum NUPL observed a significant decline earlier in the year when the asset’s price plummeted. In this plunge, the indicator went down to around -0.2, which suggests investors dipped into a net state of loss. Not just that, the level of relative unrealized loss present on the network was notable enough for the sentiment to be flagged as “capitulation” under Glassnode’s methodology. Related Reading: Bitcoin Sees Influx Of New Capital: First-Time Buyers Add 140,000 BTC Often, cryptocurrency markets move in the direction that the crowd least expects, so the presence of a high amount of loss can lead to a bottom. From the chart, this seems to be what occurred when the NUPL dropped into the capitulation zone. With the price surge that has followed since this low, sentiment among Ethereum investors has naturally marked an improvement. The NUPL may be to keep an eye on, however, as once the balance shifts overwhelmingly towards profit, another shift in the market could become probable: this one to a downtrend. ETH Price Ethereum has broken away from Bitcoin as its price has jumped by more than 20% over the past week, reaching the $3,600 level. Featured image from Dall-E, Glassnode.com, chart from TradingView.com
Thumzup Media Corp. has approved plans to hold up to $250 million in crypto, expanding its treasury beyond bitcoin to include ethereum, solana, ripple, and more. Bold $250 Million Expanded Crypto Treasury Strategy Authorized by Thumzup Media Thumzup Media Corporation (Nasdaq: TZUP) has received board approval to hold up to $250 million in digital assets.
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Bitcoiner Peter McCormack says the police "have failed" the town of Bedford and insists he can do a better job by deploying his own security team.
🚀 Are You Chasing New Coins? Catch the newest crypto opportunities. Be the first to buy, be the first to win! Click here to discover new altcoins! The Altcoin Season
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BitcoinWorld Altcoin Season Index Plunges to 37: Navigating the Dominant Bitcoin Season Are you feeling the chill in the air for your altcoin portfolio? The latest readings from the Altcoin Season Index might explain why. This crucial metric, tracked by CoinMarketCap (CMC), recently registered a sobering 37 at 01:14 UTC on July 19, down three points from the previous day’s figure. This decline signals a definitive shift into what the crypto world refers to as Bitcoin Season . For many investors, this means a period where Bitcoin’s price movements dictate the overall crypto market, often leaving altcoins struggling to keep pace. Understanding this dynamic is key to navigating the ever-volatile digital asset landscape. What Exactly is the Altcoin Season Index, and Why Does it Matter? The Altcoin Season Index is more than just a number; it’s a snapshot of market sentiment and capital flow within the cryptocurrency ecosystem. Developed and tracked by CoinMarketCap, it provides a clear indication of whether altcoins are broadly outperforming Bitcoin or vice versa. How it Works: The index compares the performance of the top 100 cryptocurrencies (excluding stablecoins and wrapped tokens) against Bitcoin over the past 90 days. Defining Altcoin Season: For the market to be officially in Altcoin Season, at least 75% of these top 100 altcoins must have outperformed Bitcoin during the 90-day period. The index score typically ranges from 75 to 100. Defining Bitcoin Season: Conversely, Bitcoin Season occurs when 25% or fewer of these altcoins manage to outperform Bitcoin. The index score for Bitcoin Season usually falls between 1 and 25. With the index currently at 37, it clearly indicates that we are firmly outside Altcoin Season territory and deep within a period where Bitcoin is asserting its dominance. This makes the index a vital tool for cryptocurrency analysis , helping investors gauge market trends and adjust their strategies accordingly. Why Has the Market Shifted into Bitcoin Season? Unpacking Current Crypto Market Trends The transition into a pronounced Bitcoin Season isn’t random; it’s often driven by a confluence of macroeconomic factors, market sentiment, and specific industry developments. Several key reasons contribute to Bitcoin’s current dominance: Macroeconomic Uncertainty: In times of global economic instability, high inflation, or rising interest rates, investors tend to de-risk. Within the crypto space, Bitcoin is often perceived as the ‘safer’ asset or ‘digital gold,’ leading to a flight of capital from more speculative altcoins into BTC. Institutional Adoption & Liquidity: The increasing institutional interest, particularly with the advent of Bitcoin ETFs, funnels significant capital directly into Bitcoin. Its unparalleled liquidity and deeper market depth make it the preferred choice for large institutional players, reinforcing its dominance. Bitcoin Halving Cycles: While not the sole factor, the anticipation or aftermath of Bitcoin halvings can create unique market dynamics. Often, pre-halving rallies see Bitcoin gain strength, and post-halving consolidations might also see capital concentrate in BTC as the market absorbs the supply shock. Regulatory Clarity (Relative): Compared to the vast and diverse altcoin landscape, Bitcoin often has a relatively clearer regulatory pathway in many jurisdictions. This reduces perceived risk for both retail and institutional investors, making it a more attractive holding during uncertain regulatory periods. These prevailing crypto market trends collectively contribute to Bitcoin’s current stronghold, making it challenging for most altcoins to generate significant independent gains. Navigating Altcoin Performance: What Does Bitcoin Dominance Mean for Your Portfolio? When the market is in Bitcoin Season , the implications for altcoin performance can be significant and often challenging for investors heavily invested in smaller cap digital assets. Here’s what typically happens: Underperformance: The vast majority of altcoins will underperform Bitcoin, meaning their prices might either decline in USD value or rise much less significantly than BTC. They also tend to lose value against Bitcoin (their BTC pair value drops). Increased Volatility: Smaller, less liquid altcoins can experience heightened volatility, with sharper drops during market corrections and slower recoveries. Capital Rotation: Money often flows out of altcoins and into Bitcoin, exacerbating the altcoin underperformance. Investors might sell altcoins to buy more BTC, or simply hold cash waiting for a shift. The ‘Bleed Out’: Many altcoins may experience a gradual decline, often referred to as ‘bleeding out,’ where their value erodes over time, especially against Bitcoin. While some strong altcoins with unique narratives or significant developments might still manage to post gains, they are typically outliers. The prevailing environment demands a cautious approach to altcoin investments. Actionable Insights: How to Strategize During a Dominant Bitcoin Season Understanding the current market phase is crucial, but knowing how to act on it is even more important. Here are some actionable strategies for investors navigating a dominant Bitcoin Season : Focus on Bitcoin as a Core Holding: Given its current strength, increasing your allocation to Bitcoin can be a prudent move. It often acts as a more stable store of value within the crypto space during these times. Re-evaluate Altcoin Exposure: Consider reducing exposure to highly speculative, unproven, or less liquid altcoins. Rebalance your portfolio towards stronger, more established projects or increase your stablecoin holdings. Dollar-Cost Averaging (DCA): Instead of trying to time the market, consistently invest a fixed amount into Bitcoin or select strong altcoins at regular intervals. This strategy helps average out your entry price and mitigates the risk of buying at a peak. Deep Dive into Fundamentals: Use this period for thorough cryptocurrency analysis . Research projects with strong use cases, active development, robust communities, and clear roadmaps. These are the altcoins most likely to survive and thrive when the market eventually shifts. Patience and Long-Term Perspective: Crypto markets are cyclical. Avoid panic selling based on short-term fluctuations. A long-term perspective, combined with a well-researched strategy, is key to weathering market downturns. Monitor Dominance Charts: Keep an eye on Bitcoin’s dominance chart. A rising dominance suggests Bitcoin Season, while a consolidating or falling dominance could signal a potential shift back to altcoins. What Triggers the Shift? When Could Altcoin Season Return? While the Altcoin Season Index currently points to Bitcoin’s reign, the crypto market is dynamic, and cycles are an inherent part of its nature. The index will not remain at 37 forever. Several factors could trigger a shift back towards Altcoin Season: Bitcoin Price Consolidation: After a significant Bitcoin rally, if BTC enters a period of consolidation or trades sideways, capital often begins to flow into altcoins as investors seek higher returns and risk appetite increases. Emergence of New Narratives and Technological Breakthroughs: Significant advancements or the emergence of compelling new narratives within specific altcoin sectors (e.g., breakthroughs in Layer 2 scaling, a new DeFi boom, widespread adoption of GameFi or AI tokens) can ignite excitement and draw substantial capital away from Bitcoin. Ethereum’s Performance: As the largest altcoin and a major ecosystem, a strong and sustained rally in Ethereum, often driven by successful network upgrades (like the upcoming Dencun or future developments), can signal broader altcoin strength and kickstart an Altcoin Season. Increased Risk Appetite: A general improvement in global economic conditions, a more favorable regulatory environment, or a surge in institutional confidence beyond just Bitcoin could fuel a broader risk-on sentiment, benefiting altcoins. Keeping a close watch on these evolving crypto market trends and the movement of the Altcoin Season Index itself will be crucial for identifying early signs of the next Altcoin Season. Conclusion The Altcoin Season Index at 37 is a clear indicator: we are firmly in a period of Bitcoin Season . This means Bitcoin is currently outperforming the majority of altcoins, influencing overall crypto market trends . While this phase presents challenges for altcoin performance , it also offers an opportunity for astute investors to refine their portfolios and engage in thorough cryptocurrency analysis . Understanding these market cycles, adapting your strategy, and focusing on strong fundamentals will be key to navigating the current landscape. As the crypto market continues to evolve, staying informed and patient will ultimately position you for success, regardless of whether it’s Bitcoin’s time to shine or altcoins are ready to take the lead. Frequently Asked Questions (FAQs) 1. What is the Altcoin Season Index? The Altcoin Season Index is a metric provided by CoinMarketCap that measures the performance of the top 100 altcoins against Bitcoin over the past 90 days. It helps indicate whether the market is currently in an Altcoin Season or a Bitcoin Season. 2. How is Bitcoin Season defined by the index? Bitcoin Season is defined when 25% or fewer of the top 100 altcoins (excluding stablecoins and wrapped tokens) have outperformed Bitcoin over the last 90 days. The index score for Bitcoin Season typically falls between 1 and 25. 3. What are the main reasons for the current Bitcoin Season? The current Bitcoin Season is primarily driven by factors such as global macroeconomic uncertainty leading to a flight to ‘safer’ assets (Bitcoin), increased institutional adoption and liquidity for BTC (e.g., Bitcoin ETFs), and the natural dynamics of Bitcoin’s halving cycles. 4. How should investors adjust their strategies during Bitcoin Season? During Bitcoin Season, investors might consider increasing their core Bitcoin holdings, reducing exposure to highly speculative altcoins, practicing dollar-cost averaging, and conducting thorough fundamental analysis on any altcoins they choose to hold. Patience and a long-term perspective are crucial. 5. When can we expect Altcoin Season to return? Altcoin Season typically returns when Bitcoin’s price consolidates after a major rally, allowing capital to flow into altcoins. It can also be triggered by new technological narratives, significant upgrades to major altcoins like Ethereum, or a general increase in market-wide risk appetite. 6. Does the Altcoin Season Index include stablecoins? No, the Altcoin Season Index explicitly excludes stablecoins and wrapped tokens from its calculation to provide a clearer picture of speculative altcoin performance against Bitcoin. Did you find this deep dive into the Altcoin Season Index and Bitcoin Season insightful? Share this article with your fellow crypto enthusiasts on social media to help them navigate the current market dynamics! To learn more about the latest crypto market trends, explore our article on key developments shaping Bitcoin price action . This post Altcoin Season Index Plunges to 37: Navigating the Dominant Bitcoin Season first appeared on BitcoinWorld and is written by Editorial Team