Loading...

Bitcoin ETF approval boosts cryptocurrency market sentiment

Bitcoin

Most read

Loading Most Ready posts..

TL;DR

  • Bitcoin and Ethereum lead in the crypto market after SEC approved ETFs.
  • XRP gains traction, hinting at potential XRP ETF approval.
  • Cardano grows modestly, while Bitcoin and Ethereum dominate the crypto scene.

The excitement surrounding Bitcoin Exchange-Traded Funds (ETFs) has persisted, even into the weekend, following the recent approval of the first applications for Bitcoin spot ETFs by the U.S. Securities and Exchange Commission (SEC). 

Despite a slight pullback in Bitcoin’s price, investor confidence in top cryptocurrencies remains robust. Data from the on-chain analytics platform Santiment reveals that Ethereum and other major cryptocurrencies are experiencing exceptionally high levels of optimism.

Ethereum takes the lead

While Bitcoin has been the center of attention, Ethereum has quietly made significant gains. Ethereum, one of the largest cryptocurrencies by market capitalization, has witnessed a price surge following the approval of Bitcoin Spot ETFs. 

Traders have displayed strong bullish sentiment towards Ethereum, with the cryptocurrency now leading the market in terms of sentiment. Ethereum’s sentiment and discussion rate have reached their highest levels since November 2021, as traders eagerly discuss the potential approval of Ethereum Spot ETFs in the near future.

XRP also gains momentum

The excitement surrounding spot ETF approval has extended to XRP, with its sentiment and discussion rate at their highest levels since May 2023. In a recent interview, Steve McClurg, Chief Investment Officer of Valkyrie, indicated that an XRP ETF could be on the horizon.

On the other hand, Cardano (ADA), despite experiencing a 5% growth in the past seven days, Cardano (ADA) has largely remained on the sidelines regarding the discussion rate. Positive sentiment for Cardano is currently at its usual level, suggesting that the cryptocurrency is not experiencing the same level of attention and optimism as Bitcoin, Ethereum, and XRP.

Bitcoin dominates the spotlight

Bitcoin has been the focal point of discussions in the cryptocurrency market, particularly with the performance of the 11 newly introduced spot ETFs during their first two days on the market. According to Santiment, Bitcoin’s sentiment and discussion rate have been at their highest levels since March 2023, reflecting the cryptocurrency’s heightened interest and enthusiasm.

Market performance

Following the launch of Bitcoin spot ETFs, the price of Bitcoin initially surged, surpassing $48,600 for the first time since April 2022. However, Bitcoin subsequently experienced a minor decline and is currently trading at $42,900. Despite this pullback, many analysts and investors anticipate a potential price surge for Bitcoin in the coming weeks.

In contrast, Ethereum has maintained its positive price momentum and has outperformed Bitcoin. The ETH/BTC pair has risen from 0.05085 on January 10th to 0.06117 on January 12th, underscoring Ethereum’s strong performance relative to Bitcoin. As of the time of writing, the ETH/BTC pair is at 0.05935, and Ethereum’s price has surged by over 14% in the past week, holding firm above the $2,500 resistance level and currently trading at $2,550.

Disclaimer: The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.

Share link:

Benson Mawira

Benson is a blockchain reporter who has delved into industry news, on-chain analysis, non-fungible tokens (NFTs), Artificial Intelligence (AI), etc.His area of expertise is the cryptocurrency markets, fundamental and technical analysis.With his insightful coverage of everything in Financial Technologies, Benson has garnered a global readership.

Stay on top of crypto news, get daily updates in your inbox

Related News

Cryptopolitan
Subscribe to CryptoPolitan