Tired US-based Bitcoin The bulls might think it’s their imagination that they seem to wake up every morning with BTC doing quite well only for prices to drop during the US trading session.
In fact, they are not imagining 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 US after-hours performance was also similar for 2024 and suggests the positioning of ETFs or spot derivatives could be having an impact.
Looking to seize the opportunity, Nicholas Financial Corporation, a boutique wealth management firm, filed an application with the US Securities and Exchange Commission (SEC) to launch a bitcoin. ETF that holds the asset only during overnight hours, opting out of the US trading day entirely.
The fund, called Nicholas Bitcoin and Treasuries AfterDark ETF (NGTH), would buy bitcoins at 4 pm ET (when US markets close) and sell at 9:30 am ET the next day, before markets reopen. During the day, the fund would rotate into short-term US Treasuries to preserve capital and generate yield.
The company also filed paperwork for a second product, the Nicholas Bitcoin Tail ETF (BHGD).
If approved, the ETF would add a novel twist to the growing ecosystem of bitcoin investment products by treating time of day as a key factor in its strategy.
