The Recent Bitcoin Rally and BlackRock’s Interest in Crypto
The recent rally in the Bitcoin (BTC) market, which saw prices hit two-month highs near $30,000 on Monday, has sparked interest and speculation. The cause of this surge was initially attributed to false reports claiming that the US Securities and Exchange Commission had approved BlackRock’s spot Bitcoin ETF application. However, Larry Fink, CEO of BlackRock, clarified in a Fox Business interview that this rally is just an example of the pent-up interest in cryptocurrency.
“We are hearing from clients around the world about the need for crypto,” Fink said.
Fink also mentioned that while he couldn’t comment on the progress of the spot Bitcoin ETF application, he believes the recent Bitcoin rally may be due to safe-haven demand. He cited ongoing geopolitical tensions such as the Israeli war and global terrorism as factors influencing investor sentiment.
BlackRock, known as the world’s largest asset manager and a prominent name on Wall Street, applied to create a spot Bitcoin Exchange Traded Fund (ETF) in June. This marked a significant change in Fink’s opinion on Bitcoin, as he previously referred to it as an index of money laundering in 2017. However, in 2023, he now views cryptocurrency as a digitized form of gold.
