Bitcoin, Ethereum, Dogecoin Rise After Fidelity Resubmits Spot ETF Filing: Analyst Says, 'It's Hard To Be Bearish On ETH'

Major cryptocurrencies traded in the green on Monday following the announcement that Fidelity Investment, the colossal asset management firm that manages assets worth $4.3 trillion, has filed for a spot Bitcoin exchange-traded fund (ETF).

What Happened: Fidelity has resubmitted an application for a Bitcoin ETF spot, according to a newly filed document with the Securities and Exchange Commission (SEC). 

The filing reveals that the Chicago Board Options Exchange (CBOE) exchange has put forth a proposal to list and trade shares of the Wise Origin Bitcoin Trust. The SEC had previously rejected a Bitcoin ETF application from Fidelity in 2021.

This move from Fidelity aligns with a trend among asset managers who have been submitting applications for spot Bitcoin ETFs this month. Major players such as BlackRock, WisdomTree, Invesco, and Bitwise have also shown confidence in the profit potential and increasing demand for digital assets.

"To this point, the lack of a spot Bitcoin ETP exposes U.S. investor assets to significant risk because investors that would otherwise seek crypto-asset exposure through a spot Bitcoin ETP are forced to find alternative exposure through generally riskier means," the Fidelity filing said.

The U.S. economy exceeded expectations and expanded by 2% in the first quarter, outpacing the projected growth of 1.4%. In addition, there was positive news on the job market as initial jobless claims for the week ending June 24 saw a significant drop of 26,000 to 239,000, marking the largest decline since October 2021. This figure was also below the anticipated number of 265,000, indicating a favorable trend in employment.

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At the time of writing, the global crypto market capitalization stood at $1.17 trillion, an increase of 0.67% over the last day. 

The US stock market saw a rise on Thursday, propelled by gains in major bank stocks following the Federal Reserve’s annual stress test. Additionally, an upward revision in GDP figures helped alleviate concerns about a potential recession on Wall Street.

The S&P 500 added 0.45%, while the tech-heavy Nasdaq Composite closed flat at 0.0031%.

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Analyst Notes: "Bitcoin has rallied after a plethora of financial giants have filed their Bitcoin ETF applications.  Optimism is brewing but if prices can't rally above the $31,500, a consolidation pattern could form between the $25,000 and $30,000 region," wrote Edward Moya, Senior Analyst at OANDA told Benzinga.

According to crypto analyst Michael Van de Poppe, there is a clear area for long positions on Bitcoin. The optimal buying zone appears to be around $30,250, but there’s a possibility of a dip to $29,500 before an upward move.

Van de Poppe believes that it’s only a matter of time before Bitcoin breaks through the $31,000 level.  "The markets are still small. Bitcoin is $600 billion," he said.

According to a pseudonymous analyst Inmortal, a pseudonymous trader draws a comparison between the current price of Ethereum at $2,000 and Bitcoin’s price at $6,000 in 2019. "It's hard to be bearish on ETH. Look at this structure. 2k is like 6k level on BTC back in 2019. Macro higher lows since 2022 summer."

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