Bitcoin recovers following Truth Social's BTC ETF filing and Strategy's $1 billion purchase

• President Donald Trump's Truth Social filed an S-1 with the SEC on Monday for a combined Bitcoin and Ethereum ETF. 
• Strategy announced the purchase of 10,100 BTC for $1 billion, its largest acquisition in weeks.
• Bitcoin recovered above $108,000, rising nearly 4% following the developments.

Bitcoin (BTC) saw a 3.7% increase on Monday following the Trump Media and Technology Group's (TMTG) filing of a combined Bitcoin and Ethereum exchange-traded fund (ETF) with the Securities and Exchange Commission (SEC). Meanwhile, Strategy revealed that it purchased 10,100 Bitcoin for $1 billion at $104,080 per BTC.

Bitcoin sees gains as Trump Media Group files BTC & ETH ETF amid Strategy's purchase boost

Trump Media Group (DJT), the company behind the social media platform Truth Social, plans to launch a combined ETF for Bitcoin and Ethereum, according to a filing with the SEC on Monday.

The "Truth Social Bitcoin and Ethereum ETF, B.T," will track the price movement of BTC and ETH but will not hold them in equal amounts. It is expected to hold both cryptos at a three-to-one ratio initially, but this ratio could be subject to change at any time by the sponsor.

Yorkville America Digital will serve as the official sponsor for the fund, with full control over how the assets are allocated, while Foris DAX Trust Company will act as the custodian for the fund's Bitcoin and Ethereum holdings.

Trump Media Group's filing comes nearly two weeks after it submitted a Form S-1 to launch a Truth Social Bitcoin ETF, seeking to join several other companies offering indirect exposure to Bitcoin. 

Meanwhile, Bitcoin ETFs saw a strong recovery last week, with inflows totaling $1.3 billion, following two consecutive weeks of outflows, according to CoinShares. Ethereum products continued their run with $583 million in net inflows last week, the largest since February.

Meanwhile, Bitcoin-focused treasury company Strategy revealed the acquisition of 10,100 BTC for $1.05 billion. The purchase was made at an average price of $104,080 per Bitcoin, boosting its total acquisition to 592,100 BTC, worth $61.47 billion at current prices. It covered most of the purchases using proceeds from the recent $1 billion upsized offering of its new perpetual Stride preferred stock (STRD).

This brings its average purchase price to $70,666 per Bitcoin at an aggregate price of $41.8 billion. Strategy now holds 2.8% of the total Bitcoin supply following the latest acquisition.

Bitcoin reclaimed the $108,500 level at the time of writing, rising 3.7% following the developments.