Bitcoin (BTC) is back in the red during the ongoing session after Friday’s recovery fizzled out. The flagship cryptocurrency reached an intraday high of $110,369 on Friday but failed to retain momentum, ultimately settling at $109,697. Bitcoin traders had reduced bullish positions, indicating mixed market signals ahead of Friday’s $22 billion monthly Bitcoin options expiry. BlackRock Files For New ETF BlackRock, the world’s largest asset manager, has registered a Delaware trust company for its new Bitcoin Premium Income ETF. The yield-generating product will use covered call options on BTC futures to collect premiums for regular distributions, trading potential upside for steady income. Bloomberg ETF analyst Eric Balchunas called the new ETF a sequel to the $87 billion IBIT, noting that covered call options would provide a BTC yield through options premiums. “BlackRock registered the name iShares Bitcoin Premium ETF, filing coming soon. This is a covered call Bitcoin strategy to give BTC some yield. This will be a '33 Act spot product, sequel to the $87b.” Delaware trust registrations typically follow S-1 or 19b-4 filings with the Securities and Exchange Commission (SEC) to begin formal approval processes. The SEC has become increasingly open to crypto investment products under the Trump administration. BlackRock’s IBIT ETF was launched in January 2024 and has registered over $60 billion in inflows. BlackRock Raises Bitcoin Exposure BlackRock’s global Allocation Fund increased its holdings in IBIT by over 38% during the second quarter, a September 26 filing with the Securities and Exchange Commission (SEC) has revealed. The fund held 1,000,808 IBIT shares valued at $66.4 million as of July 31. This represents a substantial increase from the 723,332 shares it held as of April 30. Year-over-year growth shows rising Bitcoin adoption within BlackRock’s portfolio management. IBIT currently represents 0.4% of the Global Allocation Fund’s $17.1 billion assets under management. This is a 62% increase from the 0.25% allocation during the first quarter. BlackRock has recommended a 1% to 2% Bitcoin allocation as a “reasonable range” in its model portfolio on February 28. The fund’s recent increases in allocations suggest it is moving towards the recommended exposure level through gradual accumulation. BlackRock’s Global Allocation Fund invests across US and international equities, debt securities, money market investments, and other short-term assets. Next Fed Chair Pick Could Be The Biggest Bull Catalyst Galaxy Digital CEO Mike Novogratz believes Bitcoin (BTC) could see a sharp rally if the next Federal Reserve Chair is exceptionally dovish. Speaking during an interview with Kyle Chasse, Novogratz stated, “That’s the potential biggest bull catalyst for Bitcoin and the rest of crypto. Fed’s cutting when they shouldn’t be, and you put in a massive dove. Can Bitcoin get to $200K? Of course, it could because it becomes a whole new conversation if that happens.” However, Novogratz stated that while aggressive rate cuts will be bullish for crypto, they would come at a very steep cost, adding that he hoped they would not happen. “Do I want it to happen? No. Why? Because I kind of love America. It would be really shitty for America. He also stated that there was a real chance the Federal Reserve could lose its independence. Daleep Singh, vice chair and chief global economist at PGIM Fixed Income, echoes Novogratz’s views, stating, “There's a very decent chance that the FOMC looks and acts quite differently after Powell’s term expires in May 2026. On a cyclical basis, I think the risks to the dollar are skewed to the downside.” Bitcoin (BTC) Price Analysis Bitcoin’s (BTC) hopes for a recovery over the weekend faded as it lost momentum after briefly crossing $110,000 on Friday. The flagship cryptocurrency has endured a brutal week, struggling to recover after two separate crashes over the week took prices below key levels. BTC showed signs of a recovery on Wednesday but suffered a dramatic crash on Thursday, dropping nearly 4% to $109,035. It recovered on Friday, rising 0.61% to $109,697. However, BTC is back in the red, marginally down during the ongoing session. BTC’s drop to $109,000 on Thursday was its lowest level in three weeks and triggered over $275 million in liquidations, mostly of leveraged bullish positions. Friday’s options expiry has also failed to breathe life into price action so far, although that could change on Monday. Meanwhile, traders have been reducing their long positions, driving the long-to-short ratio to 1.7x, the lowest in over 30 days. However, BTC’s drop below $112,000 saw traders reverse course and add upward exposure, with the indicator slowly climbing towards 1.9x in favor of longs. Analysts fear bears could drag prices even lower, with the rebound quickly losing momentum. 10x Research head Markus Thielen stated, “The bounce back from that dip quickly lost momentum, and with prices now hovering close to this level again, another wave of stop-loss selling could emerge. This comes at a time when many are positioned for a Q4 rally — making the bigger surprise not a surge higher, but a correction instead.” BTC ended the previous weekend in the red, dropping 0.56% and settling at $115,314. The price faced volatility on Monday as buyers and sellers struggled to establish control. Buyers ultimately gained the upper hand as BTC registered a marginal increase and settled at $115,381. Bullish sentiment intensified on Tuesday as the price rose 1.26% to cross $116,000 and settle at $116,832. Selling pressure returned on Wednesday as BTC fell to an intraday low of $114,724. It recovered from this level to settle at $116,484, ultimately dropping 0.30% BTC reached an intraday high of $117,998 on Thursday. However, it could not stay at this level and settled at $117,117. The price lost momentum on Friday, dropping 1.22% to $115,690. Source: TradingView Price action was mixed over the weekend, with BTC registering a marginal increase on Saturday. However, it was back in the red on Sunday, dropping 0.41% to $115,282. The flagship cryptocurrency plunged to an intraday low of $111,761 on Monday as bearish sentiment intensified. It recovered from this level to reclaim $112,000 and settle at $112,736. Buyers attempted a recovery on Tuesday as BTC reached an intraday high of $113,357. However, it failed to stay at this level and settled at $112,017, ultimately dropping 0.64%. The price fell to an intraday low of $111,066 on Wednesday as selling pressure intensified. Despite the bearish sentiment, it recovered to register a 1.19% increase and settle at $113,348. Bearish sentiment intensified on Thursday as BTC plunged nearly 4%, slipping below $110,000 and settling at $109,035. The price recovered on Friday, reaching an intraday high of $110,369 before settling at $109,697. The current session sees BTC marginally down as buyers struggle to keep it above the $109,000 mark. Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
