Banks like Bank of America’s Merrill Lynch and Wells Fargo & Co are now providing spot Bitcoin exchange-traded funds (ETFs) to clients amid Bitcoin’s price reaching all-time highs.
Two major financial institutions, Merrill Lynch of Bank of America and Wells Fargo & Co, have reportedly entered the arena of spot Bitcoin exchange-traded funds (ETF), extending this investment opportunity to their clientele.
These banks are said to be providing this product to both wealth management clients and brokerage account holders who express interest.
Financial Giants Embrace Spot Bitcoin ETFs Amidst Soaring Prices
As per a recent report from Bloomberg, these two financial giants are poised to introduce this offering at a time when Bitcoin has soared to unprecedented price levels.
This development follows BeInCrypto's coverage indicating that nine of the newly launched spot Bitcoin ETFs have recorded all-time high trading volumes.
Currently, Bitcoin is maintaining a value of approximately $61,259. This reflects a remarkable 19.37% surge over the past week and an impressive 42% increase in the last 30 days.
Eric Balchunas, an ETF analyst, revealed that nine out of the 11 spot Bitcoin ETFs have witnessed record-breaking trading volumes this week, with a reported $2.4 billion in inflows within a 24-hour timeframe.
Meanwhile, Ark Invest and 21Shares have recently announced their collaboration with Chainlink. Specifically, they will be utilizing Chainlink’s Proof of Reserve platform for the ARK 21Shares Bitcoin ETF (ARKB).
Growth in Bitcoin Holdings by ETF Providers
The amount of Bitcoin held by Bitcoin ETF providers is steadily on the rise. Furthermore, as of February 2, BeInCrypto reported that the combined holdings of the 11 spot Bitcoin ETFs represent approximately 3.3% of the total Bitcoin supply.
Conversely, cryptocurrency trader Dave the Wave has pointed out that the Moving Average Convergence Divergence (MACD) histogram indicates a recurring trading pattern suggestive of a four-month parabolic surge.
Observers within the industry have long speculated on the potential impact of Bitcoin ETFs on the broader cryptocurrency sector.