Launch of Bitcoin ETF and growth of Ethereum. Main events of the week

The cryptocurrency market is showing signs of recovery in early 2024, with the Fear & Greed Index rising to 76 out of 100, its highest level since November 2021. This indicates that optimism is prevailing in the market.

The U.S. Securities and Exchange Commission (SEC) approved the launch of spot bitcoin ETFs from BlackRock and other companies. This event opens up access to cryptocurrency for a wider range of investors and could attract new capital into the industry.

Ethereum, the second-largest cryptocurrency by market capitalization, rose 12% in one day, while Bitcoin only rose 6%. This is due to the fact that Ethereum is a more technologically advanced cryptocurrency with greater growth potential.

However, there are also negative factors that could weigh on the market.

Cryptocurrency mining companies are selling a large amount of their assets to cover expenses. This could lead to a decline in the price of Bitcoin.

Analysts at an investment bank believe that the spot bitcoin ETFs launched on January 11 will not attract significant amounts of new capital.

Overall, the outlook for the cryptocurrency market in 2024 is mixed. However, the launch of spot bitcoin ETFs is a positive event that could boost the market.