- Bernstein expects the spot Bitcoin ETF market to be significant and predicts that within two to three years, Bitcoin’s market value will reach 10%.
- The spot Bitcoin ETFs launched by investment giants like BlackRock and Fidelity have boosted positive sentiments in the market, leading to a rise in Bitcoin price above $31,000.
- Now, investors are eagerly awaiting the SEC decision in September. The initial decision date for other investment firms, including BlackRock, also falls in early September.
Bernstein highlighted the spot Bitcoin ETFs in a report today and stated that the approval of a potential ETF would strengthen the bull cycle.
Bernstein’s Comments on Spot BTC ETFs
Crypto exchange-traded funds (ETFs) not only bring capital to the market by generating demand in the spot market but also create a growth engine for market signals, legitimacy-seeking retail and other institutional flows upon regulatory approval of these products, as stated in a report released by Bernstein today.
Analysts led by Gautam Chhugani commented as follows;
“The interest of strong global asset managers in spot Bitcoin (BTC) ETFs, combined with potential mechanisms to address the objections of the U.S. Securities and Exchange Commission (SEC), has increased the likelihood of approval.”
Bernstein expects the spot Bitcoin ETF market to be significant and predicts that within two to three years, Bitcoin’s market value will reach 10%. The SEC extended the review period for the Ark 21Shares Bitcoin ETF application on Friday; the regulator continues to evaluate applications from traditional financial giants such as BlackRock (BLK) and Fidelity Investments.
The note stated that cryptocurrency ETFs would benefit from a “strong brand marketing move by leading global asset managers” and “distribution support from retail brokers and financial advisors.”
Brokers say that new capital will come from fresh stablecoin supply, tokenization of traditional assets, tokenization of local crypto infrastructure, and ETFs to strengthen a new crypto cycle. The report also added;
“Blockchain assets have been stuck in a range of $40 billion this year, and circulating stablecoins are around $120 billion.”
Investors Focused on Bitcoin ETFs
The spot Bitcoin ETFs launched by investment giants like BlackRock and Fidelity have boosted positive sentiments in the market, leading to a rise in Bitcoin price above $31,000. However, this effect did not last long, and the Bitcoin price declined to levels around $29,000 – BTC even went below $29,000.
Now, investors are eagerly awaiting the SEC decision in September. The initial decision date for other investment firms, including BlackRock, also falls in early September. ARK Invest CEO had stated that these ETFs could be collectively approved. Similarly, ETF analysts at Bloomberg also mentioned an increased likelihood of approval for spot Bitcoin ETFs.
