Bitcoin's dominance rises with ETFs approvals and regulatory clarity

  • Investing.com
  • Stock Market News
Bitcoin's dominance rises with ETFs approvals and regulatory clarity
Credit: © Reuters.

Bitcoin (BTC) has further solidified its position as the leading cryptocurrency, with its market dominance climbing to 50.2% as of Monday, September 18, 2023. This surge in dominance marks a significant uptick from its range of 39% to 49% over the previous two years. The rise in Bitcoin's market share is largely attributed to the filing of Bitcoin ETFs by several top investment firms for SEC approval in June 2023.

The New York Department of Financial Services (NYFDS) proposed stricter rules for listing cryptocurrencies on exchanges earlier this week. However, Bitcoin and Ethereum (ETH), along with stablecoins issued by PayPal ( NASDAQ :NASDAQ: PYPL ) and Gemini, received a green light as digital assets that license holders can list or custody without facing additional regulatory hurdles. This regulatory leeway is expected to further benefit Bitcoin.

In light of these developments, stocks directly linked to or exposed to Bitcoin have seen notable growth. Stronghold Digital Mining Inc., a crypto asset mining company that focuses on mining Bitcoin in the U.S., has an expected earnings growth rate of 97.7% for this year. Over the past 60 days, the consensus estimate for its current-year earnings has improved by 68.7%.

Robinhood Markets Inc (NASDAQ:NASDAQ: HOOD ) enables the buying and selling of Bitcoin, Ethereum, Dogecoin , and other cryptocurrencies. Robinhood's expected earnings growth rate for the current year is 57.3%.

BlackRock Inc (NYSE:NYSE: BLK ), the world's largest asset manager, applied to launch a Bitcoin exchange-traded fund in June 2023. Although BlackRock's expected earnings growth rate for the current year is only 0.3%, it is expected to grow by 13.2% in 2024.

Bitcoin's dominance stands as a crucial metric that garners close attention from experienced traders. This metric serves as a valuable tool, offering insights into the overall performance and potential direction of the cryptocurrency space. As Bitcoin's market dominance continues to increase, experts remain cautiously optimistic that Bitcoin could be on the verge of a substantial bull rally.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

Error: File type not supported

Drop an image here or

100