Spot Bitcoin and Ethereum exchange-traded funds rose amid strong gains in their underlying cryptocurrencies—with Bitcoin hitting a new all-time high—as “Crypto Week” kicks off with expectations that legislation being weighed by U.S. lawmakers will push the asset class further into the mainstream.
The world’s biggest spot Bitcoin ETF, the $80.1 billion iShares Bitcoin Trust (IBIT), and its runner-up, the $22.7 billion Fidelity Wise Origin Bitcoin Fund (FBTC), both jumped about 2.5% before noon on Monday as Bitcoin briefly topped $123,000.
The biggest Ethereum ETFs, the $5.6 billion iShares Ethereum Trust (ETHA) and the $3.2 billion Grayscale Ethereum Trust ETF (ETHE), moved 0.6% higher. The underlying Ether token topped $3,000, and the price has now more than doubled over the past three months, according to CoinMarketCap.
The House of Representatives has declared Monday the start of Crypto Week, as lawmakers consider a trio rules this week favored by the Trump Administration that would further legitimize cryptocurrencies. One is the GENIUS Act, whichi would regulate dollar-backed “stablecoins,” many of which use Ethereum. The other, the CLARITY Act, would give the Commodities Futures Trading Commission (CFTC), a central role in regulating digital commodities.
The third, the Anti-CBDC Surveillance State Act, permanently blocks the creation of a central bank digital currency (CBDC). The new rules and pro-crypto stance mark a reversal from that of the Biden Administration, during which crypto and crypto exchanges were tarred by fraud accusations and doubts as to their safety by regulators.
Top 5 Spot Bitcoin ETFs—Source: FactSet
The rules face a variety of final votes, debates and revisions this week, according to an X post from Nate Geraci, president of NovaDius Wealth Management, formerly the ETF Store. The GENIUS Act, if passed by the House, would go to President Donald Trump to be signed into law.
Investors are pouring money into digital asset ETFs, pushing their total AUM to a record $211 billion, according to CoinShares. Last week, crypto ETFs pulled in $3.7 billion, their second-best week ever. Bitcoin ETFs pulled in $2.7 billion, while Ethereum ETFs grabbed $990 million.