JP Morgan and Wells Fargo, two of the largest banks in the United States, have announced their investments in Spot Bitcoin ETFs, revealing their exposure to BTC, the world’s largest cryptocurrency. This significant development comes amid the ongoing downturn in the crypto market, resulting in The price drop of BTC just over $60,000.
US Financial Banks Unveil Spot Bitcoin ETF Holdings
American financial services companies, Wells Fargo and JP Morgan revealed their exposure to BTC by recently announcing their adoption of Spot Bitcoin ETFs submit. This decision to invest in BTC ETFs marks a notable change from banks’ previous cautious approach to cryptocurrencies.
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Wells Fargo revealed in its new declaration to the US Securities and Exchange Commission (SEC), of which it currently owns 2,245 shares Grayscale Bitcoin Trust (GBTC)valued at $121,207, which it has since converted into an ETF. In addition, the US bank owns 37 shares of the ProShares Bitcoin Strategy ETF (BITO), worth $1,195.
On the other hand, JPMorganwhich holds approximately $2.9 trillion in assets under management (AUM), disclosed its total Spot BTC ETF holdings in an SEC filing. The bank reported that it had purchased approximately $760,000 worth of stock iShares Bitcoin Trust (IBIT) from BlackRockFidelity’s Wise Origin Bitcoin Fund (FBTC), Grayscale Bitcoin Trust (GBTC), Bitwise Bitcoin ETF and ProShares Bitcoin Strategy ETF (BITO).
Additionally, JP Morgan also owns approximately 25,021 shares worth $47,000 in a cryptocurrency ATM provider. Bitcoin depot. The investment firm also revealed its exposure to Spot BTC ETFs just hours after Wells Fargo’s announcement.
In spite of the regulatory uncertainty and continued market volatility has seen institutional interest in cryptocurrencies, especially BTC, grow rapidly. Bloomberg senior analyst, also Eric Balchunas predicted that more financial services firms would likely follow in the footsteps of JP Morgan and Wells Fargo in disclosing stakes in Discover Bitcoin ETFs as market makers or authorized participants (APs).
BTC price suffers more declines
Despite increasing interest from traditional financial institutions looking for exposure to BTCthe cryptocurrency’s price has shown a surprising lack of bullish momentum. Since it halving event on April 20, BTC was trading sideways, witnessing this continued declines who previously dropped the price to around $57,000.
The cryptocurrency, which hit an all-time high of over $73,000 in March, has seen a decline of 14.20% over the past month. Furthermore, Bitcoin has given up much of its pre-halving gains and is currently trading at $60,494, according to CoinMarketCap.
Blockchain analytics platform, Santiment, revealed that the continued lack of interest in BTC and broader market sentiment could be a strong sign that the cryptocurrency is get close to its bottom.
BTC price falls below $61,000 | Source: BTCUSD on Tradingview.com
Featured image of PlasBit, chart from Tradingview.com
