Abu Dhabi Sovereign Wealth Fund and Goldman Sachs Invest in Bitcoin ETFs

Week of February 18-24, 2025

The Abu Dhabi Sovereign Wealth Fund acquired a $436.9 million stake in BlackRock’s Spot Bitcoin ETF during Q4 2024—just as BlackRock secured its business license in Abu Dhabi last November.

Meanwhile, Goldman Sachs disclosed to the U.S. SEC that it held Bitcoin via BlackRock’s IBIT fund during Q4 2024. This investment totals $1.27 billion, equivalent to 24.07 million shares, despite the firm’s earlier skepticism toward cryptocurrencies.

In Argentina, a group of lawyers has filed a fraud lawsuit against President Javier Milei. The charges relate to his alleged support for the LIBRA token, which has plummeted by more than 95% in value. Although Milei denies any involvement, evidence surfaced on his personal Twitter account—which he has since deleted.

Hester Peirce, who heads the U.S. SEC’s cryptocurrency working group, noted that no decisions regarding digital asset policies will be made until the new SEC Chairman is confirmed by the Senate.

In another move, the CBOE BZX Exchange has filed with the U.S. SEC, seeking approval for a staking feature in 21Shares’ Spot Ethereum ETF. This request is contingent on maintaining adequate liquidity for investor withdrawals and avoiding any guarantees of returns.

VanEck forecasts that a proposed U.S. Bitcoin Strategic Reserve bill could drive Bitcoin purchases totaling up to $23 billion—or 247,000 BTC—from 20 states keen on buying Bitcoin (excluding state pension fund investments).

On the international front, Japan’s Financial Services Agency (FSA) is mulling over regulatory changes for cryptocurrencies. These changes could reduce the current 55% tax rate on crypto profits to 20% and introduce a more fitting regulatory framework.

Technical Analysis

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Bitcoin (BTC)

Bitcoin is trading sideways within a narrow range. Keep a close eye on the support level at $89,000—if breached, the uptrend might falter and losses may need to be cut. Conversely, if prices hold and recover, the first resistance target is $106,000. Only a break above this level would suggest a test of previous highs.

Support: 3,100,000 THB / 89,000 USD
Resistance: 3,600,000 THB / 106,000 USD

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Ethereum (ETH)

Ethereum (ETH) is also moving sideways with little sign of a breakout. The previous low of $2,125 should be used as an entry or stop-loss point. A failure to hold this level could see prices capped at approximately $2,940. While a successful break may signal a recovery and a shift to an uptrend.

Support: 80,000 THB / 2,125 USD
Resistance: 100,000 THB / 2,940 USD

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PancakeSwap (CAKE)

PancakeSwap (CAKE) posted returns of 60.55% last week, showing strong signs of recovery. Look for buying opportunities when the price dips near the support level of $2.650. If the price holds above this level, the short-term profit-taking target would be at $3.232.

Support: 70 THB / 2.650 USD
Resistance: 130 THB / 3.232 USD

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Sonic (S)

Sonic (S) recorded a 22.76% return over the past week, also showing signs of recovery. Keep an eye on the previous low at $0.3130 as a stop-loss marker. Should the price recover and stay above $0.5888, the next resistance target will be at $0.7600.

Support: 11 THB / 0.3130 USD
Resistance: 30 THB / 0.7600 USD

Investment Trends

The U.S. Federal Reserve Chairman recently addressed interest rate policies in the Economic Report to Congress, confirming that no rate cuts are on the horizon. The January 2025 inflation rate was recorded at 3.0%, slightly up from 2.9% in December.

Despite the data, there was some selling pressure in the market before a rebound. Just before the Consumer Price Index (CPI) figure was released, President Donald Trump commented that interest rates should be lowered to better align with increased import taxes.

It appears that the market has largely factored in the impact of heightened import taxes and the delay of any rate cuts. With no new negative factors emerging, stability is expected until the new SEC Chairman is confirmed and clearer policies—such as the establishment of Bitcoin as a Strategic Reserve—are implemented, potentially boosting market momentum.

Currently, the top-performing altcoins include those within the BNB Chain group, which have shifted focus toward the meme coin market. Additionally, coins that have been proposed for Spot ETFs in 2025 may attract early buying interest.

Looking ahead, the minutes from the recent Federal Open Market Committee (FOMC) meeting will be released on Wednesday, February 19, 2025. Moreover, keep an eye out for a potential policy speech by President Trump on Tuesday, February 18, 2025.

References

Disclaimers

Cryptocurrencies and digital tokens are highly risky; investors may lose all investment money. It is important to study information carefully and invest based on your own risk profile.
Past returns or performance of digital assets do not guarantee future returns or performance.

Remark: The views, information, knowledge, and opinions expressed herein are those of the individuals involved and do not represent the views of Bitazza or its employees. Neither this email nor the content presented constitutes investment advice.

Topics: Crypto Weekly

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