The Grayscale Bitcoin Investment Trust (GBTC) has risen by 57% since asset management giant BlackRock filed for a spot bitcoin ETF on June 15.
Shares in Grayscale’s flagship Bitcoin Trust rose from $13 on June 15 to trade at $20.46 today, according to data from TradingView. In comparison, bitcoin rose 21% from around $25,000 to a current price of $30,300 during the same time period.
Meanwhile, GBTC’s discount to net asset value — meaning the market price of each share is lower than the value of the bitcoin it represents — is trading below 30% for the first time since July last year. It's currently at 29.3%, according to The Block’s data dashboard.
The discount was 41.7% before BlackRock’s application and has been steadily narrowing. GBTC historically traded at a premium until 2021’s crypto credit crunch.
The U.S. Securities and Exchange Commission rejected Grayscale’s proposal to convert GBTC to a spot ETF last year, with the asset manager suing the agency over the decision. However, BlackRock’s filing, followed by applications from Invesco, WisdomTree, Valkyrie and Fidelity have renewed optimism for a conversion, potentially explaining the outperformance of GBTC.
"Grayscale's proposal to convert GBTC into a spot bitcoin ETF was rejected last year, and although Grayscale has been fighting the decision, there has been no final ruling," Rebecca Stevens, research analyst at The Block Research said last month, as the daily trading volume of GBTC began to spike following BlackRock’s filing. "Optimism around BlackRock being successful in their bid for a spot bitcoin ETF would then pave a clearer way for Grayscale to get their non-redeemable trust shares changed, too."
GBTC has also pushed higher than bitcoin year-to-date, up 144.3% compared to bitcoin’s price gain of 83.7%, according to TradingView.
source:theblock
Polkadot was launched in May 2020. In a market dominated by Bitcoin and Ethereum, it quickly established itself as the next generation blockchain. The scale and interoperability problems limit Bitcoin's ability to transfer value without the assistance of
For some newcomers to the currency circle, they are not familiar with the investment in the currency circle, and their understanding of the special currency is not very deep. Therefore, they may be at a loss in the choice of investment methods. Many inves
Lummis is a well-known crypto advocate on Capitol Hill with over $100,000 in crypto.
Several analysts argue that shrimp accumulation is good for the Bitcoin network because it makes the asset more decentralized over time.
ARK Invest filed for a spot Bitcoin ETF in collaboration with 21Shares long before BlackRock did, and its application is reportedly first in line for the SEC’s approval.
Interestingly, the price surge was on the back of increased activity from whales, as indicated by on-chain data. The increased activity led to an increased"/>
Recent market dynamics have seen Solana struggling to break above the $200 mark. A notable bearish factor among these market fundamentals is the recent"/>
DOGE, the internet's favorite memecoin, is back in the spotlight. Recent data reveals a surge in futures market activity, coupled with bullish technical"/>
The recent stratospheric rise of Bitcoin, reaching a new all-time high of $73,000, has sent ripples of excitement and trepidation through the crypto world."/>
Co-founder of Tornado Cash Roman Storm has filed a motion to dismiss the charges levied against him by the US Department of Justice (DOJ)."/>
On Thursday, March 28, a hack occurred on Prisma Finance, a decentralized lending protocol on the Ethereum network. The exploiter carted away about 3,257.7"/>
Once fully licensed in Dubai, Bybit plans to run a full-scope exchange, offering crypto lending, payments, investment and other services.
Tue, 18 Apr 2023