Crypto Scoop: Bitcoin Soars To A New ATH Hits $66,000

Here are the highlights of this week's crypto scoop:

• Bitcoin Soars To A New ATH Hits $66,000
• Ethereum closes in on Current ATH
• Grayscale set to turn its Bitcoin Fund to ETF

Bitcoin Soars To A New ATH Hits $66,000

After the long wait, bitcoin not only hit its April ATH of $64,000 but set a new ATH at $66,435. Although bitcoin struggled to reach $60,000 after going below $30,000 briefly in the last few months, its leap to $66K this week is remarkable. Bitcoin, the world's most valuable cryptocurrency by the market, has made a complete rebound from the months-long downturn. This has brought the gains of bitcoin this year to roughly 300%. The debut of the ProShares Bitcoin Strategy ETF, the first exchange-traded fund permitted by the US Securities and Exchange Commission to invest in bitcoin futures, looks to have given BTC a boost. The new fund, which trades under the symbol BITO on the New York Stock Exchange, raised $570 million in assets on its first day and generated $1 billion in trading volume, making it one of the most successful debuts in history.

However, since then, bitcoin's price may have trended bearish, going back to $61,000. Yet, crypto enthusiasts remain hopeful that as new ETF's and crypto adoption policies are rolled out, bitcoin's price will continue to soar as more people are sensitized about its value.

Read also: Is it Too Late To Buy Bitcoin?

Ethereum closes in on Current ATH.

Bitcoin, Ethereum, among several other cryptocurrencies, had experienced a bearish tide in the last few months. However, Ethereum continuously thrived even in a sea of red as it worked towards attaining its current ATH. Ethereum is closer than ever to achieving its current ATH of $4379.11 as it hit $4200 on Thursday. Ethereum has successfully broken the negative trendline that connects the May and September peaks.

In May, Ethereum reached a high of $4,379 but dipped consequently after. However, the Ethereum market is trending upwards now. Investors are buying higher strikes upwards in the hopes that a US exchange-traded fund (ETF) linked to ether-based futures contracts will be approved soon. This is one of the primary causes for Ethereum's upward trend.

Grayscale set to turn its Bitcoin Fund to ETF.

Grayscale Bitcoin Trust is the world's largest bitcoin investment entity. Grayscale Investments stated Tuesday that it has filed with the Securities and Exchange Commission (SEC) to convert its Grayscale Bitcoin Trust (GBTC) into a bitcoin spot ETF. An exchange-traded fund (ETF) is a form of securities that monitors an index, sector, commodity, or other asset and may be bought and sold on a stock exchange much like a regular stock. An ETF can be set up to track anything from a single commodity's price to a big and diverse group of securities. ETFs can even be built to follow certain investment strategies. The decision comes after the Securities and Exchange Commission approved bitcoin futures ETFs to trade on Friday with the ProShares Bitcoin Strategy. The ETF is set to begin trading on the New York Stock Exchange on Tuesday.

GBTC was founded in 2013 and has since grown to be the world's largest bitcoin investment option, with close to $40 billion in assets under management. According to Grayscale, it owns around 3.44 percent of the bitcoin in circulation. Grayscale has stated several times that it intends to convert GBTC, as well as its other 14 crypto trusts, into exchange-traded funds (ETFs). Grayscale's ETF would be backed by genuine bitcoin units rather than being tied to it through derivatives contracts like futures. If the proposal is approved by the SEC, it will mark a significant step forward in recognition of bitcoin as an investable asset. Given SEC head Gary Gensler's stated preference for a futures product that may provide additional investor protections, several analysts believe Grayscale's chances of winning approval for a bitcoin spot ETF are poor.

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