Bitcoin Futures ETF Nears Limit (2024)

Happy Sunday. It’s time for yourWeekend Rip!

Indexes were four-for-four this week! The S&P 500 flexed on the other indexes, leading the pack +1.82%.

Earnings season is really starting to pick up. It’s going to be a big week for Big Tech (more on that below). We’ll also be watching some of the smaller tech companies, too.

Card networks Visa and Mastercard are also reporting this week… we’ll be interested to see how much money consumers spent in the quarter (and if it points to a strong post-COVID rebound.)

Crypto pulled back this week as the excitement around the new Bitcoin Futures ETF fizzled.$BTC.Xrose 2.14% this week,$ETH.Xrose 8.7% this week, and$SOL.Xis up 23.11% this week.

This week’s biggest gainers in the crypto-verse included$NEXO.X(+60%),$RUNE.X(+54%), and$SHIB.X(+54%).

Speaking of crypto, we’re launching anew newsletterthis week… and it’s all about crypto!The Litepaperis launching tomorrow andyou can subscribe hereto get quick-and-easy updates on the crypto market delivered to your inbox three times a week.

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That said, here’s how the week finished out:

Earnings

A Big Week for Big Tech

This week will be abeefy onefor Big Tech earnings.

Facebookwill kick off the festivities on Monday. On Tuesday,Microsoft,Twitter, andGooglewill follow suit.Apple,Amazonwill pick up the back end of the week.

They could use a boost. Concerns about rising interest rates and revenue misses might be sowing doubt in the minds of investors. After Snapchat’s revenue miss last week, there’s even more at stake.

It’s also worth mentioning that they’ll be joined by a slew of othersmaller-but-still-pretty-dang-bigtech companies such asAMD,Spotify,Shopify, andRobinhood.

However, given the strong earnings reported so far in the quarter, investors might have little to worry about. Of the 117 names in the S&P 500 that havereported earnings,83.8%have posted earnings above analyst estimates.

Check out our earnings section below to see what Stocktwits has its eyes on this week.

Bitcoin Futures ETF Nears Limit

The first-ever Bitcoin-linked ETF got off to a record-breaking start this week. It’s having asmallproblem keeping up with all the inflows.

The ProShares Bitcoin Strategy ETF ($BITO) tracks bitcoin futures, which are purchased through the Chicago Mercantile Exchange (CME). CME has a limit for how many bitcoin contracts can be bought by a single entity.$BITOis currently within reach of hitting that limit.

One way ProShares could resolve this limit is requesting that CME lift that limit. ProShares has also preemptively applied for a waiver to limit the amount of bitcoin futures“a buyer can purchase in the new fund”according to Coindesk.

However, in the case that ProShares is unable to see that limit raised (or limit buyers), the ETF will have to imagine new solutions. According to ProShares CEO Michael Sapir, if CME doesn’t grant the waiver, the company will shift assets into later-dated contracts, structured notes or swaps, or invest in equities with crypto exposure.

Problems with futures could be mitigated entirely if the SEC is willing to approve a Bitcoin spot ETF. However, the SEC has made it known that it prefers the futures format for its “investor protections.”

(P.S: If you like crypto news, we’re launching a new crypto newsletter calledThe Litepapertomorrow. You cansubscribe hereto get tri-weekly crypto updates.)

Crypto

Shiba Inu Posts New Record

Shiba Inu was just shy of the top-10 cryptos today, after posting enormous gains this week.

The memecoin hit an all-time high of $0.00004442 earlier today, after rallying over 50% intraday. It has since-then pulled back, bringing its 7-day performance to +60% on the week. As of this writing,$SHIB.X‘s market cap is worth over $15.4 billion.

The speculative frenzy comes as the Shiba Inu community has rallied support around achange.orgpetition, requesting Robinhood to list the coin. As of this writing, thepetitionhas over 304,000 signatures.

It’s a surprise turnaround for the crypto, which was bounced from highs in May 2021. It fell over 70% in mere days after Ethereum co-founder Vitalik Buterinsold/donated/burneda large portion of the supply in a controversial move.

The crypto’s “bounce back” demonstrates the staying power of meme coins and highly online nerd meme money, which has made its presence known in crypto circles over the last year — thanks to the performance of dog-related coins such as$SHIB.X,$DOGE.X, and the like.

$SHIB.Xis up over 37 million percent this year.

The Brief

Here’s a brief for the week ofMonday, October 25, 2021:

Economic Calendar:

10/26Consumer Confidence (10:00 AM ET)
10/26New Home Sales (10:00 AM ET)
10/27EIA Crude Oil Inventories (10:30 AM ET)
10/28GDP-Adv. and Chain Deflator-Adv. (8:30 AM ET)
10/28Initial and Continuing Claims (8:30 AM ET)
10/29Personal Income & Spending (8:30 AM ET)
10/29PCE Prices (8:30 AM ET)

Peep the full Economic Calendar provided byBriefingfor all the reports this week.

Here’s what to expect from earnings this week:

For more information on stocks that are reporting (and what our community is watching), check out the Stocktwitsearnings calendar.