Bitcoin ETF

Bitcoin

BlackRock

Bitcoin rallied nearly 6% after the world’s largest asset manager issued a white paper highlighting the digital asset’s potential as a hedge against monetary and geopolitical risks.
BlackRock published a Bitcoin (<a data-ct-non-breakable="null" href="https://cointelegraph.com/bitcoin-price" rel="null" target="null" text="null" title="null">BTC</a>) white paper on its appeal to investors as a “unique diversifier” that is detached from traditional fiscal and geopolitical risks.
The Bitcoin price bottomed out shortly before senior Bloomberg ETF analyst Eric Balchunas shared the nine-page white paper in a Sept. 18 X post.
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 <img alt="BTC rallies past $62.6K after BlackRock issues Bitcoin white paper" name="" src="https://s3.cointelegraph.com/uploads/2024-09/01920a14-002a-7bf5-85e2-1aa62d9cadc6">
 <figcaption style="text-align: center;">
 Bitcoin: A Unique Diversifier, BlackRock. Source: <a data-ct-non-breakable="null" href="https://x.com/EricBalchunas/status/1836440460442898794" rel="null" target="null" text="null" title="https://x.com/EricBalchunas/status/1836440460442898794">Eric Balchunas</a>
 </figcaption>
</figure>
Balchunas shared BlackRock’s report at 4:21 pm UTC, nearly an hour after Bitcoin started rallying from its daily bottom of $59,354.
Cointelegraph data shows that Bitcoin has since rallied over 5.7% to briefly reclaim $62,600 for the first time in over three weeks.
<figure>
 <img alt="BTC rallies past $62.6K after BlackRock issues Bitcoin white paper" name="" src="https://s3.cointelegraph.com/uploads/2024-09/01920a14-5267-715c-80bf-e98d7232dfc0">
 <figcaption style="text-align: center;">
 BTC/USD, bottom, 1-day chart. Source: Cointelegraph
 </figcaption>
</figure>
Some analysts are predicting a three-month <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/bitcoin-3-month-historic-rally-analysts-92k-btc" rel="nofollow noopener" target="_blank" text="null" title="https://cointelegraph.com/news/bitcoin-3-month-historic-rally-analysts-92k-btc">Bitcoin rally up to $92,000</a>, which could start in October, based on historical chart patterns and Bitcoin’s average monthly returns for the fourth quarter of the year.
Related: <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/crypto-millionaire-james-fickel-43m-loss" rel="null" target="null" text="null" title="null">Crypto millionaire loses $43 million in Ether-Bitcoin trading bet</a>
<h2 id="bitcoin-can-hedge-against-monetary-and-geopolitical-risks-blackrock">Bitcoin can hedge against monetary and geopolitical risks: BlackRock</h2>
BlackRock’s white paper notes that Bitcoin’s decentralized, permissionless nature made it the world’s first “truly open-access monetary system,” not just a cryptocurrency.
<figure>
 <img alt="BTC rallies past $62.6K after BlackRock issues Bitcoin white paper" name="" src="https://s3.cointelegraph.com/uploads/2024-09/01920a16-5938-74eb-993b-a8524c5248b7">
 <figcaption style="text-align: center;">
 What makes Bitcoin relevant? Source: BlackRock
 </figcaption>
</figure>
The asset manager also praised Bitcoin for having “no traditional counterparty risk,” or dependencies on centralized systems. The white paper states:
<blockquote>
 “These properties make it an asset that is largely detached (on fundamentals) from certain critical macro risk factors, including banking system crises, sovereign debt crises, currency debasement, geopolitical disruption, and other country-specific political and economic risks.”
</blockquote>
To highlight Bitcoin’s resilience, the asset management giant shared a chart that shows how Bitcoin returns surpassed the S&amp;P 500 and gold prices during past major geopolitical events.
<figure>
 <img alt="BTC rallies past $62.6K after BlackRock issues Bitcoin white paper" name="" src="https://s3.cointelegraph.com/uploads/2024-09/01920a16-d0b1-7f96-85da-6c5ca1a2e498">
 <figcaption style="text-align: center;">
 Bitcoin, S&amp;P 500, gold, through geopolitical crises. Source: BlackRock
 </figcaption>
</figure>
Related: <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/ethereum-lower-fees-vitalik-buterin-token-2049" rel="null" target="null" text="null" title="null">Vitalik Buterin sings at Token2049, highlights low L2 fees as ETH milestone</a>
<h2 id="bitcoin-adoption-will-be-driven-by-global-monetary-and-geopolitical-concerns">Bitcoin adoption will be driven by global monetary and geopolitical concerns</h2>
Bitcoin’s adoption path will be driven by the degree of macroeconomic concerns, according to BlackRock’s white paper.
<blockquote>
 “Over the long term, Bitcoin’s adoption trajectory is likely to be driven by the degree to which concerns rise and fall over global monetary instability, geopolitical disharmony, US fiscal sustainability and US political stability.”
</blockquote>
<figure>
 <img alt="BTC rallies past $62.6K after BlackRock issues Bitcoin white paper" name="" src="https://s3.cointelegraph.com/uploads/2024-09/01920a18-12bd-7145-aa86-f59c573be7d7">
 <figcaption style="text-align: center;">
 Bitcoin long-term performance. Source: BlackRock
 </figcaption>
</figure>
BlackRock is the issuer of the world’s largest Bitcoin exchange-traded fund (ETF), which holds over $21.4 billion worth of BTC and commands over 38% of the Bitcoin ETF market, <a data-ct-non-breakable="null" href="https://dune.com/hildobby/btc-etfs" rel="nofollow noopener" target="_blank" text="null" title="https://dune.com/hildobby/btc-etfs">according</a> to Dune data.
<figure>
 <img alt="BTC rallies past $62.6K after BlackRock issues Bitcoin white paper" name="" src="https://s3.cointelegraph.com/uploads/2024-09/01920a18-b811-704f-a083-08d3a9aab472">
 <figcaption style="text-align: center;">
 ETF issuers overview. Source: Dune
 </figcaption>
</figure>
Magazine: <a data-ct-non-breakable="null" href="https://cointelegraph.com/magazine/spot-bitcoin-etfs-hackers-risk-caroline-ellison-ftx-prison-hodlers-digest/" rel="null" target="null" text="null" title="null">Bitcoin ETFs may face hacker threats, Ellison seeks no prison time, and more: Hodler’s Digest, Sept. 8 – 14</a>

BTC rallies past $62.6K after BlackRock issues Bitcoin white paper

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