On October 19, 2021, Bitcoin reached $63,000 as Grayscale Bitcoin Trust (GBTC) confirmed that it will change its $40 billion fund into a Bitcoin spot ETF.
The flagship crypto surpassed $63K as the debut of the first regulated BTC exchange-traded fund (ETF) recorded strong uptake.
Data acquired from TradingView showed BTC/USD hit its highest level since April 16. All that happened as the ProShares Bitcoin Strategy ETF ($BITO) started trading on the New York Stock Exchange (NYSE).
BITO opened at around $40, speedily reaching local highs of $42.09 in price discovery before it started consolidating.
The major strength of the launch served to eliminate fears that the market would eventually fall into the United States open, in what might consist of a classic “buy the rumor, sell the news” event.
The era of the Bitcoin ETF has arrived!
— Dan Held (@danheld) October 19, 2021
The volatility in this market was quite rampant at the time of publication, with analysts and commentators waiting to see what will eventually happen to the ETF’s first few hours of trading.
While responding to separate criticism of the first two ETFs to launch, both of them based on Bitcoin futures, Kraken growth lead Dan Held insisted that the same fears had plagued the launch of those futures themselves sometime in late 2017. Eventually, they were unfounded.
Grayscale Officially ‘Kicks Off’ GBTC ETF Conversion O
In other ETF news, the institutional investor behemoth Grayscale confirmed on October 19 that it had applied to change its flagship Bitcoin product to an ETF.
Notably, the Grayscale Bitcoin Trust ($GBTC) might trade under the new ticker $BTC in case it gets approved. The CEO Michael Sonnenshein stated in video comments:
“From where we sit, we’ve never seen bigger maturity within the digital asset ecosystem, and we’re confident that this is the next step in the journey of GBTC’s lifecycle.”