- Bitcoin’s price was expected to hit somewhere between $50,000 and $73,000.
- The market became prey to fake news around ETF approval.
The crypto market was buzzing with excitement over the likely approval of around half-a-dozen Bitcoin [BTC] spot ETF applications, in the hopes that it would spur the next wave of investments in the space and free it from the grip of the extended bear market.
How much are 1,10,100 BTCs worth today?
A new dawn of hope
Notably, Ark Invest and 21Shares were the early movers when it came to filing for a spot Bitcoin ETF. The pair filed the application earlier in April, followed in June by a rush of applications from other TradFi giants such as BlackRock, the world’s largest digital asset manager.
If approved by the U.S. Securities and Exchange Commission (SEC), these financial instruments would offer an easier way to gain exposure to crypto assets.
A Bitcoin ETF allows investors to gain exposure to the price movements of Bitcoin without actually owning the asset directly. Unlike a futures ETF, which is already in place, a spot ETF involves holding Bitcoin as its underlying asset. So, when investors purchase shares of a spot ETF, they are essentially buying a representation of actual Bitcoin.
Clearly, asset managers would have to purchase a lot of Bitcoins from the market to link the ETF with the real-time value of the crypto. This factor has contributed to the feverish interest in spot ETFs.
Having said that, can we evaluate the quantitative impact of these financial instruments on the market value of Bitcoin?
Bitcoin’s price to increase by…
Popular on-chain analytics firm
Go to Source to See Full Article
Author: Aniket Verma
Tip BTC Newswire with Cryptocurrency
Donate Bitcoin to BTC Newswire
Donate Bitcoin Cash to BTC Newswire
Donate Ethereum to BTC Newswire
Donate Litecoin to BTC Newswire
Donate Monero to BTC Newswire
Donate ZCash to BTC Newswire
