Bankless: Bitcoin closes at all-time high in March

Author: Jack Inabinet, Bankless; Compiled by: White Water, Golden Finance

Bitcoin closed at its highest level ever in March! BTC captivated traders in March, but which asset was left on the sidelines?

This record-breaking monthly close will mark Bitcoin’s seventh consecutive green month, the longest uninterrupted rise in history!

Although Bitcoin Three The month ended on a strong note, but March has been choppy at times, and Bitcoin's 18% mid-month drop was a strong test for bulls.

Inflows into spot BTC ETFs were strong in the first two weeks of the month, but turned to outflows in the third week of March as outflows from the Grayscale Bitcoin Trust (GBTC) accelerated and BTC prices fell This discouraged buyers, but turned positive in the third week of March. This comes as a rebound in BTC prices revived demand.

As more and more people believe that the spot ETH ETF application was rejected in May, the ETH/BTC ratio Also on track for a historic milestone, on track for its lowest monthly close since April 2021.

A severe lack of communication between the U.S. Securities and Exchange Commission (SEC) and the proposed issuer, which is inconsistent with the spot BTC ETF What happens during the approval process is in stark contrast.

Although Grayscale’s chief legal officer hopes that this communication is unnecessary because the nuances of spot crypto ETFs may have been resolved during the SEC spot BTC ETF approval process, Others, including Bloomberg senior ETF analyst Eric Balchunas, still believe the communication is unnecessary. Poor communication is a bearish sign for the likelihood of approval.

Senior ETF analyst Eric Balchunas pointed out on social media:

In relation to this document, Eth corr research and other Ethereum ETFs hopium was tagged in a tweet. I respect all of that, but our odds of Ethereum ETF approval in May are still a pessimistic 25% (I would lower that if I could). With seven weeks until the deadline, SEC silence = bleakness. (Again, I personally hope they approve, but I also hope to get the right decision so we will be a perfect 4 for 4 in crypto ETF predictions)

Fidelity recently submitted a spot Ethereum ETF that included a staking feature, a feature that was not included in the Bitcoin ETF application, significantly increasing the risk of the application being rejected, adding to the belief in spot Ethereum ETFs may be rejected.

Fidelity is unlikely to risk launching a staking product unless they believe the application has been rejected and aim to force the court to decide whether staking can be included in proceedings going forward application, and litigation will inevitably be rejected.

While analysts and speculators are increasingly concerned that spot Ethereum ETF applications will be rejected, BlackRock’s Larry Fink seems unfazed, saying he Buoyed by the success of IBIT and maintaining its stance on spot Ethereum ETF approval.

In an interview with Fox Business Channel, Fink said, Even if the SEC classifies it as a security, spot Ethereum ETFs are still viable.