Tired US-Based Bitcoin The bulls might think it’s their imagination that they seem to wake up every morning to BTC doing quite well, only for prices to drop during the US trading session.
In fact, they don’t imagine things.
Data from crypto analytics platform Velo.xyz shows that over the past year, bitcoin is more likely to be in the green when traditional US markets are closed and in the red when they are open.
Bloomberg’s Eric Balchunas said data on better after-hours performance in the US was also similar for 2024 and suggests the positioning of spot ETFs or derivatives could have an impact.
Seeking to take advantage, Nicholas Financial Corporation, a specialist wealth management company, filed an application with the United States Securities and Exchange Commission (SEC) to launch a bitcoin. ETF that holds the asset only overnight, completely opting out of the US trading day.
The fund, called Nicholas Bitcoin and Treasuries AfterDark ETF (NGTH), would buy bitcoin at 4 p.m. ET – when US markets close – and sell it by 9:30 a.m. ET the next day, before markets reopen. During the day, the fund would alternate with short-term U.S. Treasury bonds to preserve capital and generate yield.
The company has also submitted materials for a second product, the Nicholas Bitcoin Tail ETF (BHGD).
If approved, the ETF would add a new twist to the growing ecosystem of Bitcoin investment products by treating time of day as a key factor in its strategy.
