Bitcoin Preparing for the Next Big Move to $40,000 as $3.9T Asset Manager Files for Bitcoin ETF Approval

• Bitcoin price recently rallied towards $31k fueled by institutional investors’ demand after BlackRock with $10T filed for a BTC EFT with U.S. SEC.
• Fidelity Investments will be filing for a spot in Bitcoin ETF for the second time after the first one was rejected by the SEC two years ago.

The future of the cryptocurrency market in the United States remains uncertain following the heightened regulatory crackdown by the Securities and Exchange Commission (SEC). Undeniably, there is a mounting demand for Bitcoin and other digital asset products in the United States.

Moreover, the Democrats and Republicans have differed on how to regulate the industry, with the latter disagreeing with punitive crypto-mining tax policies. Notably, the Biden administration had to cut a deal with the opposition, which included scrapping the 30 percent tax on crypto miners, for the debt ceiling to be raised.

Meanwhile, a recent report conducted by Triple-A concluded that more than 58 million Americans are invested in the cryptocurrency market. The figure is significant and experts anticipate next year’s presidential election to show higher regard for the electorates invested in the crypto industry.

Fidelity Investments Wants a BTC ETF

After failing to secure a Bitcoin ETF for the first time in the United States, Fidelity Investments with more than $4 trillion in Asset Under Management (AUM) is preparing to file for another spot in Bitcoin ETF as early as Tuesday. According to people familiar with the matter, Fidelity Investments will be joining BlackRock, Bitwise, Invesco, and WisdomTree in pressuring the SEC to approve the first Bitcoin ETF in the country.

Moreover, Fidelity Investments already have a similar product in Canada dubbed Fidelity Advantage Bitcoin ETF that has attracted significant institutional investors. Notably, the current SEC Chair Gary Gensler argued that the Bitcoin market is heavily manipulated and lacks measures to protect investors from exploitation while dismissing the first Fidelity application dubbed Wise Origin Bitcoin ETF.

The investment behemoth has significantly invested in the cryptocurrency market with different products, including the Fidelity crypto industry ETF which tracks top crypto companies like Coinbase Global Inc, Riot Platforms Inc, and Marathon Digital Holdings Inc, among many others.

Bitcoin Price Action

Undeniably, the Bitcoin market has remained in a bullish outlook fueled by increased interest from institutional investors through the applications of ETF products. Trading around $30.2k on Wednesday, Bitcoin dominance has scaled higher toward 52 percent amid bullish sentiments. 

From a technical standpoint, Bitcoin price could be in the final phase of the Elliott wave on the daily and weekly time frame. As a result, the chances of Bitcoin price printing a new ATH for this year stands. Moreover, Bitcoin price has been forming a bullish pennant formation that is often followed by an upward breakout.