Crypto assets gained significant steam and the Nasdaq Crypto Index (NCI) ended last week up 12.3%. The movement was fueled by bitcoin (BTC) rising 13.3%, followed by ether (ETH), which moved up 10.1%.
Bitcoin’s weekly close highest since December 2021
Bitcoin finished last week above $48,000, a level last featured in a weekly close in late December 2021. This significant recovery, fueled by an outstanding 2023, once again illustrates BTC’s resilience and strengthens the case for the asset as a long-term allocation for innovative portfolios.
Spot BTC ETFs record highest AUM ever after one month of trading
Last week, spot BTC ETFs finished their first month of trading. In a list comprising more than 5,500 ETF launches in the past 30 years, BlackRock’s IBIT and Fidelity’s FBTC led, each surpassing $3 billion in total assets. These figures show clear investor demand for spot BTC ETFs in the US, with the launch of these products being a huge success in terms of both inflows and traded volumes.
Ethereum’s Dencun upgrade to be activated on March 13
Ethereum’s next major upgrade, Dencun, is now scheduled for activation on March 13. Last week, the update passed in the third and final Ethereum testnet Holesky, finishing the usual sequence of three dry-runs conducted prior to network upgrades going to production mode. Dencun aims to reduce end-user costs when interacting with decentralized applications in the network’s ecosystem. The upgrade strengthens our conviction that Ethereum's broadband phase is coming!
The new year has started with a bang for crypto investors, with bitcoin ETFs being approved and trading in the US, but where exactly are we in the market cycle? Are there macro or idiosyncratic risks that could disrupt the current bullish sentiment? Hashdex Head of Research Pedro Lapenta was joined by David Lawant, Head of Research at Falcon X, to cover these topics and more. Watch the replay of our global webinar here.
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