Wall Street Times

Bitcoin returns to pass the green line with 5% boost

Cryptocurrency crisis concept. Bitcoin coin inside a hexagon construction floating over background with moving chart.

Bitcoin The majority of digital currencies have moved in an unpredictable and irregular pattern over this past year.

Multiple stablecoin failures assisted the crypto market’s 2022 tumble, and the November crash of FTX effectively ended the sector’s nascent comeback.

Since then, the bitcoin market has steadied in 2023, and investors have received more encouraging news this week.

On Monday, the price of bitcoin rose after a number of well-known firms recognized the popular cryptocurrency.

Bitcoin has increased by more than 5% to $28,0002.18 according to Coin Metrics.

Since early May, the cryptocurrency has made it to the highest level.

Read also: Bitcoin mining could be changed when SV2 is implemented

Sympathy for crypto

Cryptocurrencies have gotten overwhelmingly good reviews since late last week.

A BlackRock application for the first-ever spot Bitcoin ETF in the United States has fueled interest.

BlackRock is a well-known supplier of investing, advisory, and risk management services, making it one of the most trustworthy companies in which to invest in cryptocurrencies.

The verdict followed the Securities and Exchange Commission’s lawsuit against Binance and Coinbase, two of the world’s largest bitcoin exchanges.

As a result, many people are wary of BlackRock’s plan, especially because Coinbase has been selected to be its crypto custody partner.

A new exchange

On Tuesday, Bitcoin’s value increased yet more.

EDX Markets, a new cryptocurrency exchange, has been functioning as an alternate trading platform for Bitcoin and Ether for a few weeks.

Several established brands, namely Charles Schwab, Citadel Securities, and Fidelity Digital Assets, have all backed EDX.

On LinkedIn, CEO Jamil Nazarali confirmed the news with a formal announcement, writing:

“I am proud to announce that EDX Markets (EDX) has successfully launched our digital asset market and completed an investment round with new equity partners.”

“EDX’s official launch allows our outstanding team to bring crypto the same values and standards of competition, transparency, fairness, and safety that investors in traditional assets expect and enjoy.”

In that it does not maintain track of its clients’ digital assets, EDX is a one-of-a-kind platform.

Cryptocurrency assets, like those traded on the Nasdaq or NYSE, must be purchased and sold through financial intermediaries.

According to Nazarali, authorities welcome the method since it emphasizes the distinction between the broker transaction function and the exchange function.

“What we’re seeing is that increasingly, investors want to trade through their trusted intermediaries, and that’s especially true post-FTX, which was supposed to be the leader in the digital market. If you can’t trust them, who can you trust?”

“So people are falling back on the firms that have been around for a really long time and that have really stood the test of time, and that’s a really important tailwind for us.”

Due to current uncertain restrictions in the United States, EDX now allows a limit of four cryptocurrencies:

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Bitcoin (LITE)
  • Bitcoin (BCH)

“We have a limited set of tokens because until there is more regulatory clarity, we don’t want to trade something that’s potentially a security,” Nazarali explained.

“Regulators really like that we don’t take that risk.”

Other institutions

Fidelity has been tracking and actively engaging in cryptocurrency developments since 2014.

To maintain its interest in the crypto area, the organization took the following steps a few years ago:

  • Fidelity Crypto, a commission-free retail investing app, was launched.
  • Access to cryptocurrencies was made available to 401(k) holders.

Several financial institutions want to demonstrate their support for blockchain technology, namely how it may be used to modernize aging financial infrastructure.

However, only a handful are as outspoken in their support for bitcoin investing.

Investors became more bullish on Tuesday after huge businesses such as BlackRock and Fidelity displayed bitcoin commitments.

They also expected some of the negative perceptions of the crypto industry’s risk factors to dissipate, as many investors thought they had reached a mental stumbling block when it came to acquiring Bitcoin.

In contrast, Bitcoin has yet to break out of its current trading range.

In any event, their value has yet to fall below $25,000 in any instance.

Bitcoin’s monthly gains reached the green zone on Tuesday, gaining by 69% in 2023.