- Bitcoin is aiming to surpass $90,000 as traders respond to the Federal Reserve’s shift towards quantitative easing.
- Fidelity has submitted a proposal to the SEC for its ‘OnChain’ US Treasury Fund on Ethereum, scheduled to launch on May 30.
- World Liberty Financial, backed by Trump, invested $3 million in Mantle’s MNT tokens.
Bitcoin traders are showing a favorable response to the recent policy changes from the Federal Reserve. As BTC sits around the $88,000 mark on Monday, analysts express optimism regarding potential price increases for Bitcoin this week. The technical indicators lean towards a bullish outlook for the cryptocurrency.
With a staggering $5.8 trillion in assets under management, Fidelity has filed with the U.S. Securities and Exchange Commission to create an ‘OnChain’ US Treasury Fund on the Ethereum platform. If approved, this product could become available as soon as May 30, 2025.
World Liberty Financial has made headlines by purchasing $3 million in MNT tokens following a significant network upgrade to the Mantle project.
Bitcoin sets sights on moving above $90,000
Currently, the bullish sentiment around Bitcoin is fueled by traders’ positive outlook, technical indicators, and the Federal Reserve’s transition to quantitative easing. As sentiment shifts in favor of the cryptocurrency, BTC remains near the $88,000 threshold, aiming for a re-test of the resistance level at $90,000.
At present, Bitcoin’s price is just 3% away from this resistance. Key momentum indicators, including the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD), support the potential for BTC gains. The RSI is inclined upwards at a value of 51, indicating a position above neutral, while the MACD shows green histogram bars above the neutral line, reflecting a positive trend in Bitcoin’s price movement.
BTC/USDT price chart
Significance of this development
While trader sentiment remains cautious, there is a notable improvement compared to last week, as indicated by the Fear & Greed Index. This trend is further bolstered by a nearly 9% rise in Open Interest (OI) for Bitcoin derivatives over the last 24 hours.
What lies ahead
Bitcoin may soon challenge the $90,000 resistance, and a daily close above this level could pave the way for a resurgence towards the $100,000 mark in the weeks to come.
Fidelity seeks SEC green light for major Ethereum initiatives
Fidelity remains hopeful about the Ethereum ecosystem, intending to launch its US Dollar-backed Treasury Fund on-chain, contingent on SEC approval by May 30, 2025. The $5.8 trillion asset management firm aims to leverage Ethereum’s blockchain for enhanced transparency and efficiency without tokenizing US Treasury securities.
Why this is important
Fidelity’s initiative represents a significant advancement in the realm of Real-world Asset Tokenization (RWA), following the paths taken by BlackRock and Franklin Templeton. With a fund almost entirely supported by US Treasury securities and cash on the Ethereum blockchain, this could establish a benchmark for tokenized treasuries and the secondary market.
Investors utilizing blockchain wallets may enjoy increased transparency, fostering greater adoption among web3 and crypto-focused users.
Anticipated outcomes
If the SEC grants approval, Fidelity could move forward with the plan, propelling RWA into a more prominent narrative in crypto. Traders may expect other asset management firms to follow suit in the near future, bolstering the relevance of RWA tokens.
WLF’s $3 million acquisition of MNT tokens
The $3 million purchase of MNT tokens by World Liberty Financial, backed by Donald Trump, has garnered attention. This acquisition comes on the heels of a significant network upgrade, elevating the project’s profile among crypto traders and large investors as WLF adds $3 million worth of the token to its holdings, as reported by on-chain analytics platforms.
The Mantle Network is gearing up for Ethereum’s Pectra upgrade while recently integrating EigenDA for enhanced scalability and compatibility.
The importance of this acquisition
WLF’s MNT purchase raises its overall asset holdings to over $340 million, which includes various cryptocurrencies such as Ethereum (ETH), Wrapped Bitcoin (WBTC), Tron (TRX), Chainlink (LINK), AAVE, and Ethena (ENA).
Future expectations
After the upgrade and WLF’s investment, MNT saw a rise of 6.37% on Monday. The token has increased by nearly 4% over the past week, with bullish technical indicators suggesting further upward momentum for MNT in the upcoming days.