Crypto News Catchup: Bitcoin Declines Amid Biden’s Exit and ETH ETFs Launch

Significant movements and events in the cryptocurrency market have marked the third week of July 2024. From substantial price fluctuations in Bitcoin to pivotal regulatory and technological updates, this period has offered a comprehensive view of the crypto landscape’s evolving dynamics.

Investors have been engaging in speculative discussions regarding Donald Trump’s potential return to the White House and have been adjusting their investment portfolios accordingly. With Joe Biden dropping out of the race, they are now assessing how this development could affect the chances of a Democratic victory and the potential impact on their investments. BTCUSD has already dropped by 2.3% from yesterday’s closing price.

According to Reuters, the launch of Ethereum (ETH) Exchange Traded Funds (ETFs) is highly anticipated, with plans for these investment products to become available on July 23. The Securities and Exchange Commission has approved at least three funds to enter the market on that date, and it is expected that a total of eight Ethereum ETFs will be launched simultaneously. However, analysts have a divided opinion regarding the potential success of ETH ETFs compared to Bitcoin ETFs and the impact they might have on the price of ETHUSD.

With Hong Kong’s vision to become a crypto hub competing with Singapore and Dubai comes the latest launch of the first bitcoin-linked inverse ETF in the Asia-Pacific, named CSOP Bitcoin Futures Daily (-1x) Inverse Product, in Hong Kong.

An inverse bitcoin ETF aims to profit from a decrease in bitcoin’s price without directly shorting it.

The bitcoin exchange Mt. Gox, which collapsed in 2014, has begun returning over 140,000 bitcoins to its former customers. Currently, 36% of the bitcoins have been successfully distributed to the former Mt. Gox users. There are concerns in the market about a potential increase in selling pressure resulting from the return of the bitcoins. However, a Reddit poll indicates that a significant number of creditors prefer to retain possession of their coins.

According to TASS, Russian authorities are taking action against cryptocurrency miners in the Irkutsk region for illicitly utilizing electricity from residential networks at a subsidized rate. President Vladimir Putin has proposed granting regions like Irkutsk the power to crack down on crypto miners and potentially prohibit mining activities in specific areas. In Russia, cryptocurrency mining lacks legal standing, and energy providers have voiced concerns about the strain placed on their power grids. Despite attempts to regulate and tax commercial mining, the sector remains uncontrolled. The Irkutsk region has emerged as the hub of Russia’s cryptocurrency mining industry, attracting both individual miners and large-scale enterprises.

The cryptocurrency market faced a period of uncertainty following President Joe Biden’s announcement of his decision to withdraw from the re-election race. The launch of Ethereum ETFs has sparked speculation about the potential increase in cryptocurrency accessibility, but the complete impact of this development remains unclear. Hong Kong’s plans to introduce the first inverse Bitcoin ETF in the Asia-Pacific region align with the goal of establishing itself as a cryptocurrency hub. Concurrently, Russia implemented strict measures against unauthorized crypto mining in Irkutsk.