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Cantor CEO Makes Gold And Bitcoin ETFs Comparison, Foresees True Rally With Halving

In a highly anticipated development, the United States Securities and Exchange Commission (SEC) granted regulatory approval for 11 spot Bitcoin ETFs, sparking excitement within the crypto community. 

However, despite initial expectations of a significant price surge, the Bitcoin market has experienced an 8% price drop since the ETFs began trading.

Bitcoin ETFs To Unfold Impact Over Time? 

Drawing a comparison with the launch of the first Gold ETF, Cantor Fitzgerald Asset Management CEO, Howard Lutnick, noted that the immediate rush to buy the asset did not materialize.

Lutnick remarks that historical data from the launch of the Gold ETF, SPDR Gold Shares (GLD), reveals that substantial price appreciation took place over several years. 

When GLD was introduced in November 2004, the price of gold stood at around $700. By December 2023, it had surged to an all-time high of $2,145. The gold market capitalization, estimated at $1 trillion to $2 trillion pre-ETF approval, ballooned to $16 trillion within a few years.

Likewise, despite the initial hype surrounding the spot Bitcoin ETFs, experts suggest that the true impact of these ETFs will unfold over an extended period. 

As reported by NewsBTC, market analysts at CoinShares estimate that the United States possesses around $14.4 trillion in addressable assets. 

Assuming a conservative scenario where 10% of these assets invest in a spot Bitcoin ETF with an average allocation of 1%, it could potentially result in approximately $14.4 billion inflows within the first year.

These significant inflows have the potential to propel the Bitcoin price to new highs and initiate a notable price uptrend. However, as Cantor CEO Howard Lutnick predicted, the halving event, expected to occur in April, remains the primary catalyst for Bitcoin’s growth.

Dual Catalysts For Crypto Market Enthusiasm

As the Bitcoin halving event approaches, analysis of past halvings reveals a pattern of substantial rallies leading up to the event, followed by a brief correction and consolidation period before a major bull run and peak. The peak typically occurs approximately 18 months after each halving, showcasing a consistent trend.

The first halving occurred on November 28, 2012, reducing the block reward from 50 BTC to 25 BTC. At the time of the halving, the Bitcoin price was around $13. 

However, within a year, it reached a peak of $1,152. Despite a subsequent fall in price to nearly $200 in 2015, critics declared the bursting of a bubble and the demise of Bitcoin. Yet, this trend would repeat in subsequent halving cycles.

The second halving occurred on July 16, 2016, reducing the block reward to 12.5 BTC. At the time, Bitcoin was valued at $664. 

The following year saw a peak of $17,760. Similarly, the third halving occurred on May 11, 2020, lowering the block reward to 6.25 BTC. Bitcoin was priced at $9,734 during the halving and peaked at $69,000 the following year.

Based on the historical cycles, it is evident that the upcoming halving scheduled for April 2024 will be a significant catalyst for Bitcoin. However, it is important to note that Bitcoin ETFs will also play a crucial role. 

These ETFs are expected to positively impact the cryptocurrency’s price and bring new inflows and interest to the crypto market.

Bitcoin ETFs

Featured image from Shutterstock, chart from TradingView.com 

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Crypto Community Raises Alarm Over Coinbase’s Dominance Of Bitcoin Held In Spot ETFs

Coinbase, the largest cryptocurrency exchange in the United States, is presently serving as the custodian of the majority of the Spot Bitcoin ETFs managed by various asset management companies in the industry. This notable concentration is raising worries in the crypto community about significant centralization and potential risks associated with the custodianship. 

Coinbase Dominate ETFs As Major Custodian

Coinbase’s significant role in the advancement of Spot Bitcoin ETFs has become a target of scrutiny in the crypto community. The American crypto exchange is currently the custodian of 9 out of 11 Spot Bitcoin ETF companies, including BlackRock, Grayscale, Ark/21 Shares, Bitwise, WisdomTree, Invesco/Galaxy, Valkyrie, GlobalX, and Franklin Templeton. 

Notably, only Fidelity and VanEck have opted for alternative custodianship approaches. Fidelity is employing a self-custody program for its Spot Bitcoin ETF, while VanEck has selected Gemini, a crypto exchange, as the custodian for its Spot BTC ETF. 

The prominent role of Coinbase as the major custodian for Spot BTC ETFs has raised serious questions and concerns in the crypto community. Specifically, Gabor Gurbacs, Director of Digital Assets Strategy at VanEck, has deemed Coinbase’s concentrated level of custodianship to be a “double-edged sword.” 

Gurbacs stated that Coinbase would bear substantial responsibility as the primary custodian for Spot Bitcoin ETFs and would reap significant benefits from it. However, he also hinted at potential counterparty risks associated with concentrating assets within a single entity. 

Similarly, a crypto analyst on X (formerly Twitter) highlighted the potential for increased scrutiny from the United States Securities and Exchange Commission (SEC) regarding Coinbase, given its prominent position in the Spot Bitcoin ETF market. The crypto exchange is presently in a legal battle with the SEC, and many crypto enthusiasts believe that Coinbase’s regulatory challenges may pose a threat to the success of Spot BTC ETFs. 

Bitcoin price chart from Tradingview.com

Coinbase CFO Bullish On Bitcoin ETFs

The Chief Financial Officer of Coinbase, Alesia Haas appeared recently in an interview on Bloomberg TV, discussing the effects of Spot Bitcoin ETFs in the crypto market. 

When asked if the momentum of Spot Bitcoin ETFs would become a “game-changer” in the future, Haas responded confidently with a resounding “absolutely.”

The Coinbase CFO declared that the SEC’s approval of Spot Bitcoin ETFs was an important day for crypto, as it positions Bitcoin into a much broader investable asset class. She also revealed that the deployment of Spot Bitcoin ETFs would allow investors to have greater access to BTC products, extending its reach to billions of people around the globe and increasing the amount of inflows into ETFs. 

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Bitcoin Price Suffers Post-Spot ETF Blues, Drops 7% To $43,200

The introduction of Bitcoin (BTC) exchange-traded funds (ETFs) has triggered a significant sell-off, leading to a sharp decline in the Bitcoin price.

After gaining approval and commencing trading on Thursday, the ETFs have prompted a “sell the news” event, causing Bitcoin’s value to plummet from its initial trading price of $46,500 at the time of approval to a low of $43,200 within a matter of hours on Friday.

Over the past 24 hours, Bitcoin, the largest cryptocurrency by market capitalization, has experienced a 7% drop. Its gains over the past 30 days have been limited to a mere 4%, erasing much of the progress made during that period. 

Additionally, as selling pressure continues to mount following the approval, there are indications that the Bitcoin price may face further downward pressure.

Bitcoin Price Under Pressure

CryptoQuant analyst J.A. Maartunn observed significant sell orders in Bitcoin’s two-week chart on Wednesday. Notably, three clusters of sell orders were positioned between $46,100 and $48,000, comprising stacks of 755, 1,031, and 794 BTC, respectively.

According to the CryptoQuant analyst, such patterns are typically associated with market tops, unless these orders are later withdrawn or executed.

This influx of sell orders may help explain the lackluster response to the ETF approvals until now, as it appears that selling pressure has been building up. However, the situation has intensified even further. 

According to Maartunn, additional sell orders were detected on Friday, indicating that the seller is not yet finished. Two substantial sell orders have been placed just above the current Bitcoin price: one for 894 BTC at $44,000 and another for 1,071 BTC at $45,100.

Bitcoin price

These developments suggest that market participants are taking advantage of the ETF news to offload their Bitcoin holdings, leading to increased selling pressure and a subsequent price decline. 

The market’s stabilization following this period of heightened selling pressure remains uncertain. The introduction of ETFs was believed to bring about heightened institutional interest and potentially drive up the Bitcoin price. 

However, it is important to note that the impact of these ETFs is expected to unfold over the long term, rather than being evident within days, weeks, or even months. It will likely take years to fully gauge the effects and consequences of ETF integration on the Bitcoin market.

Bitcoin’s Bullish Structure Remains Intact

Amidst the ongoing selling pressure, several support lines may potentially halt the downtrend and bring positive news for the Bitcoin price and BTC bulls.

Although Bitcoin has already lost its $44,000 support level, there is another crucial threshold at $42,700 that could prevent further decline. If this level holds, there is a chance for Bitcoin to regain the $43,000 mark and reverse the downward momentum.

Bitcoin price

If the $42,700 support is breached, additional support lines come into play. These include $42,300, $41,700, and $41,200, which act as the last barriers before a potential test of the $40,000 support level. The $40,000 mark holds significance as it represents the final support before a potential dip towards $38,000.

However, there is a positive aspect for Bitcoin bulls to consider. The current bullish structure of the cryptocurrency remains intact as long as the dip does not breach the $29,900 mark.

This level marked the beginning of the current bullish uptrend, and its preservation would ensure the maintenance of the overall positive market structure.

Featured image from Shutterstock, chart from TradingView.com 

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Bitcoin ETF Approval Triggers $1.2 Billion Trading Volume And New Highs For BTC Price

In a highly anticipated move, the United States Securities and Exchange Commission (SEC) approved all 11 Bitcoin ETF applications, and the market response has been nothing short of remarkable. The approval has led to significant trading volume and propelled Bitcoin to a new 22-month high.

Within minutes of the Bitcoin ETFs going live, Bitcoin surged over 8% to reach $48,400, representing a new record since the end of the crypto bear market. The early price movement aligns with the predictions made by the majority of experts in the crypto industry.

Bitcoin ETF Trading Makes Spectacular Debut

Bloomberg ETF expert James Seyffart reported an astonishing $1.2 billion in trading volume for spot Bitcoin ETFs within 30 minutes of trading. Seyffart captured the excitement with his “Cointucky Derby” analogy, highlighting the performance of different ETFs.

Grayscale’s GBTC Bitcoin Trust took the lead in the “Cointucky Derby,” recording an impressive trading volume of $446 million in the initial minutes. It was closely followed by BlackRock’s Bitcoin Trust, which achieved a trading volume of $388 million within the first half-hour.

Bitcoin ETF

Fidelity secured the third spot with a trading volume of $230 million, outperforming Hashdex and Wisdom Tree, which recorded $1 million and $1.1 million in trading volume, respectively.

While the exact breakdown of the trading volume remains uncertain, Seyffart noted that the evening’s data might provide more insights. 

However, the Bloomberg ETF expert speculated that a significant portion of the trading volume could be attributed to new flows into the ETFs. Additionally, he suggested that a notable portion of GBTC’s trading volume might be due to outflows.

Is Bitcoin On A Clear Path To $50,000?

With the Bitcoin ETF race in full throttle, Bitcoin appears to be on a promising trajectory toward the $50,000 milestone, which could serve as a significant catalyst for Bitcoin bulls and the broader crypto industry.

Currently, having surpassed the $48,000 mark, Bitcoin’s price has reached a level where minimal resistance levels are hindering its ascent to $50,000. 

The next notable hurdle lies well above $50,700, followed by potential attempts to reach $53,000. Given the expected spot buys in the Bitcoin market following the approval of Bitcoin ETFs, combined with a considerable separation between major resistance lines, these price levels may be easily breached.

Once beyond the $50,000 threshold, Bitcoin could potentially progress to $51,000, then $53,000, and subsequently $56,000, before ultimately setting its sights on the highly anticipated $60,000 milestone. 

This series of price targets may be readily attainable for the largest cryptocurrency in the market, as it navigates through the anticipated market dynamics.

Ultimately, the SEC’s approval of the Bitcoin ETFs has brought renewed optimism to the market, with investors and industry experts closely monitoring the impact of these ETFs on the broader cryptocurrency landscape. 

The surge in trading volume and Bitcoin’s impressive price movement signify growing interest from investors seeking regulated and traditional investment avenues in the cryptocurrency market.

Bitcoin ETF

Featured image from Shutterstock, chart from TradingView.com

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Bitcoin ETF Approval Triggers $1.2 Billion Trading Volume And New Highs For BTC Price

In a highly anticipated move, the United States Securities and Exchange Commission (SEC) approved all 11 Bitcoin ETF applications, and the market response has been nothing short of remarkable. The approval has led to significant trading volume and propelled Bitcoin to a new 22-month high.

Within minutes of the Bitcoin ETFs going live, Bitcoin surged over 8% to reach $48,400, representing a new record since the end of the crypto bear market. The early price movement aligns with the predictions made by the majority of experts in the crypto industry.

Bitcoin ETF Trading Makes Spectacular Debut

Bloomberg ETF expert James Seyffart reported an astonishing $1.2 billion in trading volume for spot Bitcoin ETFs within 30 minutes of trading. Seyffart captured the excitement with his “Cointucky Derby” analogy, highlighting the performance of different ETFs.

Grayscale’s GBTC Bitcoin Trust took the lead in the “Cointucky Derby,” recording an impressive trading volume of $446 million in the initial minutes. It was closely followed by BlackRock’s Bitcoin Trust, which achieved a trading volume of $388 million within the first half-hour.

Bitcoin ETF

Fidelity secured the third spot with a trading volume of $230 million, outperforming Hashdex and Wisdom Tree, which recorded $1 million and $1.1 million in trading volume, respectively.

While the exact breakdown of the trading volume remains uncertain, Seyffart noted that the evening’s data might provide more insights. 

However, the Bloomberg ETF expert speculated that a significant portion of the trading volume could be attributed to new flows into the ETFs. Additionally, he suggested that a notable portion of GBTC’s trading volume might be due to outflows.

Is Bitcoin On A Clear Path To $50,000?

With the Bitcoin ETF race in full throttle, Bitcoin appears to be on a promising trajectory toward the $50,000 milestone, which could serve as a significant catalyst for Bitcoin bulls and the broader crypto industry.

Currently, having surpassed the $48,000 mark, Bitcoin’s price has reached a level where minimal resistance levels are hindering its ascent to $50,000. 

The next notable hurdle lies well above $50,700, followed by potential attempts to reach $53,000. Given the expected spot buys in the Bitcoin market following the approval of Bitcoin ETFs, combined with a considerable separation between major resistance lines, these price levels may be easily breached.

Once beyond the $50,000 threshold, Bitcoin could potentially progress to $51,000, then $53,000, and subsequently $56,000, before ultimately setting its sights on the highly anticipated $60,000 milestone. 

This series of price targets may be readily attainable for the largest cryptocurrency in the market, as it navigates through the anticipated market dynamics.

Ultimately, the SEC’s approval of the Bitcoin ETFs has brought renewed optimism to the market, with investors and industry experts closely monitoring the impact of these ETFs on the broader cryptocurrency landscape. 

The surge in trading volume and Bitcoin’s impressive price movement signify growing interest from investors seeking regulated and traditional investment avenues in the cryptocurrency market.

Bitcoin ETF

Featured image from Shutterstock, chart from TradingView.com

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BREAKING: SEC Approves All 11 Spot Bitcoin ETFs, BTC Price Holds Steady At $46,000

In a groundbreaking development for the cryptocurrency and Bitcoin market, the United States Securities and Exchange Commission (SEC) has approved all 11 spot Bitcoin ETFs submitted by the world’s largest asset managers. 

Bitcoin ETFs Align With Exchange Act Standards

In its official filing, the SEC stated that each proposal sought to list and trade shares of a trust that would hold spot Bitcoin, either wholly or partially. 

Importantly, the commission found that the proposals were consistent with the provisions of the Exchange Act and the applicable rules and regulations governing national securities exchanges. 

Specifically, the SEC determined that the proposals adhere to the requirements outlined in Section 6(b)(5) of the Exchange Act, which includes preventing fraudulent and manipulative acts and practices to protect investors and the public interest.

Bitcoin ETFs

The approval of these Bitcoin ETFs marks an important milestone in the maturation of the cryptocurrency market. 

However, despite the significant news, the Bitcoin price has remained stable at the $46,200 level, defying some expectations of immediate price surges following the SEC’s decision. 

Nevertheless, it is important to note that the true impact of these index funds is anticipated to unfold over the coming years, once institutions and retail investors fully enter the market.

New Era For Bitcoin

According to the official filing, trading for the approved Bitcoin ETFs is scheduled to commence tomorrow, enabling market participants to gain exposure to Bitcoin through regulated and traditional investment vehicles. 

The introduction of these Bitcoin ETFs is expected to attract a broader range of investors, including institutional players, and contribute to increased liquidity and market efficiency.

Ultimately, as institutional and retail investor participation grows, the Bitcoin market is poised for significant developments and further mainstream adoption. 

The approval of these ETFs represents a pivotal moment in the ongoing integration of cryptocurrencies into the traditional financial system. It sets the stage for future growth, innovation, and the potential for broader acceptance of digital assets in the investment landscape.

Bitcoin ETFs

Featured image from Shutterstock, chart from TradingView.com 

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VanEck Announces Massive $72 Million Bitcoin ETF Seeding As Two Tickers Appear On DTCC Website

As the US SEC prepares to make its final decision regarding Spot Bitcoin ETF approvals, the Depository Trust and Clearing Corporation (DTCC) has officially listed the Spot ETFs tickers from investment management firm, VanEck.

VanEck’s Spot ETF Ticker Listed on DTCC

American investment management firm VanEck’s Spot Bitcoin ETF has recently appeared on the active and pre-launch list of the DTCC. VanEck’s ETF can be identified by the ticker ‘HODL’ on the DTCC’s official platform. 

This move positions VanEck as a key player in the evolving landscape of Spot ETF investments. Additionally, the listing is seen as a crucial step towards integrating Spot Bitcoin ETFs into the mainstream financial sector if the United States Securities and Exchange Commission (SEC) decides to approve Spot Bitcoin ETFs. 

Alongside VanEck, WisdomTree’s Spot Bitcoin ETF ticker, ‘BTCW’ has also been officially listed on the DTCC website. The investment management firm previously submitted its Spot BTC ETF application to the US SEC in June 2023. However, the regulator has consistently delayed approval of WisdomTree’s Spot Bitcoin ETF application. 

The US SEC has also delayed 13 Spot Bitcoin ETF applications from prominent companies such as BlackRock, ARK Invest, Grayscale, and others. The regulatory agency faces a deadline of January 10, to either accept or reject these Spot Bitcoin ETF applications. 

Although there is a possibility for the SEC to decline Spot BTC ETFs several experts, including Bloomberg analysts, James Seyffart and Eric Balchunas have revealed a 90% chance of the regulator approving Spot BTC ETFs in January. 

Bitcoin price chart from Tradingview.com

VanEck Reveals $72 Million Bitcoin ETF Seed Fund

On Monday, January 8, VanEck submitted an amended Spot Bitcoin ETF S-1 filing to the SEC. In its filing, VanEck disclosed that the financial company had purchased 1,640.92489329 BTC worth $72.5 million on January 5, to support its Spot ETF.

The substantial seeding will provide a solid foundation for VanEck’s Spot Bitcoin ETF, potentially paving the way for increased participation by institutional investors. 

In addition to VanEck’s Seed Creation Baskets, major asset management companies in the Spot Bitcoin ETF race like BlackRock, Bitwise, and Fidelity have announced their various seed funds.

Bitwise revealed a $200 million seed fund made by Pantera Capital to support its Spot BTC ETF. The asset management company has also put forward $500,000 to fund its proposed Spot BTC ETF. 

Meanwhile, BlackRock and Fidelity have announced plans to seed their Spot Bitcoin ETFs with $10 million and $20 million respectively. BlackRock previously submitted an amended S-1 filing to the SEC in December, revealing a 227.9 BTC purchase to seed its Spot ETF by January 3. 

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Valkyrie CIO Anticipates XRP And Ethereum Spot ETFs Following Bitcoin’s Approval

While Bitcoin exchange-traded fund (ETF) applications are still awaiting approval from the US Securities and Exchange Commission (SEC), executives from asset management firms are already speculating about the potential launch of spot ETFs for other major cryptocurrencies, including XRP and Ethereum (ETH). 

Valkyrie Invest’s Chief Investment Officer, Steven McClurg, expressed his belief that the SEC’s potential approval of a Bitcoin ETF could pave the way for similar offerings in the XRP and Ethereum markets. 

However, regulatory challenges and classifying XRP and Ethereum as securities may present hurdles toward these index funds.

XRP And Ethereum Spot ETF Potential Hurdles

Unlike Bitcoin, which has been classified as a commodity by regulators, XRP and Ethereum have been deemed securities. This divergence in classification poses potential difficulties and may necessitate a more complex approval process for spot ETFs tracking these cryptocurrencies. 

The anticipated impact of spot ETF approval on the XRP and Ethereum price would mirror the pattern seen with Bitcoin. Still, the SEC’s skepticism towards the broader cryptocurrency market could pose additional hurdles for XRP and Ethereum ETFs.

Nevertheless, the outcome of the ongoing Ripple vs. SEC case holds significant implications and could hold the key for the cryptocurrency industry to pursue these index funds for other cryptocurrencies. 

If Ripple, the blockchain payment company associated with XRP, emerges victorious and is not classified as a security by Judge Analisa Torres, it could establish a precedent for asset managers seeking to apply for an XRP ETF. 

This legal precedent could also prompt potential litigation against the SEC to support an Ethereum ETF application.

While discussions revolve around the possibility of spot ETFs for XRP and Ethereum, there is still uncertainty surrounding the approval of Bitcoin ETFs. 

The SEC may reject or delay the pending applications, making it uncertain whether these other index funds will materialize. Furthermore, US regulators’ current classification of XRP and Ethereum as securities adds an additional layer of complexity to their respective ETF prospects.

Bitcoin ETF Decision Imminent

As reported on Monday by NewsBTC, Sources close to the process have indicated that the ultimate approval for Bitcoin ETFs may come on Wednesday. 

CNBC’s sources suggest that this coincides with the application deadline for Ark Invest and 21 Shares, raising the possibility of a potential trading launch between Thursday and Friday. Several applications are expected to receive the green light, pending updates from the SEC on the filings.

Overall, as anticipation builds around the potential approval of Bitcoin ETFs, asset managers are already contemplating the prospect of spot ETFs for other major cryptocurrencies like XRP and Ethereum. 

However, the regulatory challenges and the classification of XRP and Ethereum as securities present significant hurdles for these index funds. The Ripple vs. SEC case outcome could have far-reaching implications, potentially setting a legal precedent for asset managers to pursue XRP and Ethereum ETFs. 

XRP

XRP is trading at $0.5673, showing a lack of bullish momentum with a 1% decline in the past 24 hours. Furthermore, it has experienced a continuous downtrend of 13% over the past 30 days.

Featured image from Shutterstock, chart from TradingView.com 

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Global Mega Bank Standard Chartered Releases Bullish Forecast For Spot Bitcoin ETFs

Standard Chartered Bank is the latest to give its predictions on the impact Spot Bitcoin ETFs could have on Bitcoin’s price in the long term. The bank took a bullish stance as they predicted that BTC could rise to unprecedented heights by the end of 2025. 

Bitcoin Could Hit $200,000 By End Of 2024

According to a report by Standard Chartered shared on the X (formerly Twitter) platform, BTC’s price could reach $200,000 by end-2025. There is the potential for Bitcoin to hit this price level with $50 to $100 billion flowing into the Spot Bitcoin ETFs, says the bank’s Head of Digital Assets Research Geoff Kendrick and Precious Metal Analyst Suki Cooper.

Their projections stem from the fact that an approval of these Spot Bitcoin ETFs could happen as soon as this week. If that happens, Kendrick and Cooper state that will be a key driver of Bitcoin’s price to the upside, something similar to what happened with Gold ETPs. Interestingly, Standard Chartered predicts that BTC could hit $100,000 before this year runs out. 

Elaborating on BTC enjoying similar gains to Gold (when Gold ETPs were approved), the bank expects that such gains will materialize over a shorter period for the flagship crypto token. This is based on their view that the Spot BTC ETF market will develop quicker than the Gold ETPs did. 

The amount of inflows that these Spot Bitcoin ETFs could witness has continued to be up for debate. Crypto research firm Galaxy Digital took a more conservative stance as they project that only about $14 billion will flow into these funds in the first year. Meanwhile, VanEck’s advisor, Gabor Gurbacs, is only choosing to look at the long term.

Bitcoin price chart from Tradingview.com

“Trillions, Not Billions” In The Long Term

Commenting on Standard Chartered’s report, Gurbacs mentioned that he prefers to look at how much could flow into these funds in the longer term rather than now. With that in mind, he projects that trillions of dollars will flow into Spot Bitcoin ETFs in the long term. Specifically, he makes a case for $2.5 trillion flowing into these BTC assets. 

He explained that this could easily happen, considering that there are roughly $500 trillion in assets globally. As such, $2.5 trillion, representing just 0.5% of the global allocation, flowing into the Bitcoin ecosystem shouldn’t be a problem. He also bases his projection on the fact that Bitcoin won’t stop rising in value as fiat currencies continue to weaken. BTC has no top because fiat has no bottom, he says.

Gurbacs also expects that Bitcoin will enjoy more acceptance once these Spot Bitcoin ETFs are approved. He says that banks, financial service firms, and regulators will turn from “enemies of Bitcoin to allies of Bitcoin.” This is “immeasurably valuable” as BTC adoption can level, he remarked.

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Former SEC Chair Affirms: ‘Nothing Left To Decide,’ Bitcoin ETF Approval Imminent

As anticipation builds around major asset managers’ potential approval of Bitcoin ETF applications, former US Securities and Exchange Commission (SEC) chair Jay Clayton has added his voice to the discussion. 

Clayton, who served as SEC chair from 2017 to 2020 during the Trump administration, expressed his belief in the inevitable approval of Bitcoin ETFs in a recent interview with CNBC.

Clayton Highlights Key Factors In Bitcoin ETF Approval

According to Clayton, approving Bitcoin ETFs is not a matter of if but when. He emphasized the robustness and efficacy of the Bitcoin trading market, stating that it has significantly improved over the past five years. 

Clayton also highlighted the importance of the technology supporting these ETFs, particularly the custody, creation, and redemption processes. 

Clayton views the ability to tokenize and digitize underlying assets as a major step forward, with implications beyond the crypto space. Clayton believes that this development has the potential to bring about significant changes in the broader financial industry.

Clayton’s recent comments align with his previous statements, demonstrating a consistent stance favoring Bitcoin ETF approval. 

During his tenure as SEC chair, Clayton expressed skepticism about the BTC market but acknowledged the emergence of reputable institutions in the crypto industry as a game-changing development. 

Clayton emphasized the efficiency of a spot Bitcoin ETF for investors. He noted that approving a Bitcoin Spot ETF would become difficult to resist if institutions can demonstrate their effectiveness compared to the futures market. 

Clayton also recognized the significance of institutional players entering the crypto industry, as their involvement lends credibility and addresses some of the SEC’s concerns regarding market manipulation.

Moreover, Clayton highlighted the increasing demand from retail investors to gain regulated exposure to Bitcoin through investment products. He also noted that reputable financial industry providers are eager to offer Bitcoin ETFs to the public. 

These factors underscore the market’s readiness for regulated investment vehicles that can provide broader access to cryptocurrencies while maintaining investor protections.

Trading Expected To Commence This Week

CNBC has reported that trading of Bitcoin ETFs could commence within days. The news aligns with former SEC Chair Jay Clayton’s optimistic outlook on Bitcoin ETF approval, adding to the growing anticipation surrounding these investment products. 

According to CNBC correspondent Kate Rooney, two sources close to the process have indicated that Wednesday will likely be the day of the ultimate approval. 

According to CNBC’s sources, this coincides with the application deadline for Ark Invest and 21 Shares, raising the possibility of a trading launch between Thursday and Friday. 

As the SEC receives updates on the filings, Rooney concluded that several applications are expected to be given the green light. 

Overall, the imminent approval would indicate a shift in acceptance of cryptocurrencies within the regulatory landscape and present an opportunity for investors to access Bitcoin through regulated investment vehicles. 

Bitcoin ETF

As of this writing, the excitement surrounding the approval has sent Bitcoin to the $46,900 mark, up more than 6.8% in the past 24 hours.

Featured image from Shutterstock, chart from TradingView.com 

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Bitcoin Price Breaks Through $47,000, Bullish Sentiment Builds With Anticipation Of ETF Approval

With the Bitcoin price soaring to new highs, the cryptocurrency community is excitedly buzzing as all signs point towards an imminent approval of the highly anticipated Bitcoin Exchange-Traded Fund (ETF) applications. 

This positive sentiment has propelled the Bitcoin price past the $47,100 mark, reaching levels not seen since April 2022 and inching closer to the coveted $50,000 milestone and its all-time high (ATH) of $69,000.

SEC Fast-Tracks Bitcoin ETF Review

Earlier this morning, several prominent players in the financial industry submitted their final registration of securities amendments for a Spot Bitcoin ETF. 

The list of applicants includes VanEck, Bitwise, Fidelity, Valkyrie, Franklin, Ark Invest, Grayscale, BlackRock, WisdomTree, and Invesco Galaxy. This development has further fueled the bullish Bitcoin price action.

In recent updates regarding the Bitcoin ETF applications, James Seyffart, an ETF expert at Bloomberg, revealed that the 19b-4 filings were pouring onto the SEC website. 

Although the process typically takes a few days to a couple of weeks, this influx of filings indicates that the SEC is expediting its review for this week. 

It is worth noting that the timeframe of January 8th to 10th has been closely watched by industry observers, and the accelerated pace of the SEC’s actions during this period adds to the anticipation surrounding the Bitcoin ETF approval.

Standard Chartered Expects $200,000 Bitcoin Price

As the Bitcoin price continues its upward trajectory, accompanied by widespread anticipation of imminent ETF approval, British multinational bank Standard Chartered has made a significant statement. 

The bank believes that ETF approval will serve as a pivotal catalyst for Bitcoin’s price surge, heralding a transformative moment for institutional participation in the cryptocurrency. 

Standard Chartered expects this approval to drive substantial inflows and contribute to significant price gains for Bitcoin.

Standard Chartered views the approval of Bitcoin ETFs as a watershed moment in normalizing institutional investment in Bitcoin. With regulatory clearance for ETFs, institutional money is expected to pour into the cryptocurrency market, further validating Bitcoin as an asset class.

Standard Chartered predicts that the price gains resulting from the approval of spot Bitcoin ETFs in the United States will be of a similar magnitude as witnessed previously. 

However, the bank anticipates these gains to materialize over a shorter period of one to two years, considering the accelerated development of the Bitcoin ETF market. 

In line with their end-2024 projection of Bitcoin reaching $10,000, Standard Chartered expects the approval of ETFs to drive inflows that could potentially elevate the price to around $20,000 by the end of 2025.

Bitcoin price

Bitcoin has reached the $47,100 mark, up a staggering 6.5% in the last 24 hours alone, coupled with an 8.7% increase in the last seven days.

Featured image from Shutterstock, chart from TradingView.com

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Bitcoin Price Forecast: Analysts Caution Against Missing Out As BTC May Surge To $500k With ETF Launch

As the Bitcoin price has regained previously lost territory, following reports suggesting that the US Securities and Exchange Commission (SEC) would reject the long-awaited Bitcoin spot exchange-traded funds (ETFs), new developments have reignited hopes among investors. 

Although the approval of these index funds is not expected to occur on Friday, sources indicate that the upcoming week may bring positive news. 

ETF Approval To Drive Gradual Bitcoin Price Surge To $500,000

FOX journalist Eleanor Terret reports that amended 19b-4 filings and last-minute phone calls regarding comments on S-1s and possible launch dates are expected in the coming days. 

While approvals seem likely in the next week, according to Terret, the timeline ultimately depends on the SEC’s ability to review the comments and amendments submitted efficiently. 

Terret describes the current situation as a meticulous process of “dotting the i’s and crossing the t’s,” emphasizing the attention to detail required for regulatory clearance. 

On the other hand, crypto analyst Adam Cochran offers valuable insights into the potential impact of Bitcoin ETFs, as all signs point to the imminent approval of these investment products.

Cochran suggests that many may “overestimate” the short-term effects of ETF approval while underestimating its long-term implications. In the immediate aftermath, market flows may not witness a significant surge. However, Cochran believes that investment advisors will review their clients’ portfolios over the next year and recommend diversifying even a small percentage, such as 1%, into the ETF. 

Cochran emphasizes that the Bitcoin price performance, with a remarkable 157% return in the latter half of 2023, will be a key factor driving investor interest. 

Cochran envisions a gradual upward trajectory for the Bitcoin price, characterized by persistent growth and occasional market volatility. 

Ultimately, Cochran’s long-term forecast indicates a potential Bitcoin price surge to $500,000 per coin, leaving sidelined investors regretfully waiting for a substantial market correction. Cochran further noted:

Also, ETFs result in spot buys, not leverage, which improves system health. And are long-term holders, less likely to sell volatility. So it creates a slow grind up of underlying market health. Like the best DCA you could ask for. 

Bitcoin ETF Pricing Potential Not Fully Realized

Crypto analyst Ali Martinez suggests that the pricing potential of a Bitcoin ETF may not have been fully realized, providing insight into the current state of the Bitcoin market.

Martinez points to a decline in the estimated leverage ratio across all exchanges, reaching a two-year low. This indicates that Bitcoin traders are adopting a more cautious approach, reducing their use of borrowed funds as they await regulatory clarity on the ETF. 

Furthermore, Martinez emphasizes the significance of Bitcoin’s price above $41,800. According to Martinez, Bitcoin’s ability to maintain its position above $41,800 is crucial for establishing a bullish outlook. 

This level is reinforced by approximately 2.41 million addresses holding over 1 million BTC, creating a substantial support zone. 

Bitcoin price

The significant number of addresses with substantial Bitcoin holdings suggests a strong interest in maintaining the cryptocurrency’s value and provides a foundation for market stability. Martinez notes that the resistance levels ahead for Bitcoin appear relatively minor. This implies that fewer significant barriers are impeding potential price increases. 

With reduced resistance, the market conditions become more favorable for stable or rising prices, further supporting the bullish sentiment.

Bitcoin price

Featured image from Shutterstock, chart from TradingView.com 

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Bitcoin Price Analysis: Ascending Parallel Channel Pattern Points To $57,000 Target

As anticipation builds around the potential approval or rejection of spot Bitcoin (BTC) exchange-traded funds (ETFs) by the US Securities and Exchange Commission (SEC) on January 5, the Bitcoin price has witnessed a notable 2.7% recovery in the past 24 hours. 

This development comes amidst growing speculation about the patterns that could drive the Bitcoin price to reclaim the highs lost during the bear market in 2022. 

Notably, crypto analyst Ali Martinez has identified an ascending parallel channel as the governing pattern behind the Bitcoin price action since September 2023.

Bitcoin Price Faces Crucial Test At $48,000

According to Ali Martinez’s analysis, Bitcoin prices have exhibited a consistent pattern known as an ascending parallel channel. 

This technical formation suggests that the BTC’s price has been trading within the confines of a channel characterized by an upper and lower boundary, as seen in the chart below.

Bitcoin price

BTC could experience further price movement within the defined boundaries if the ascending parallel channel pattern holds. 

The price is expected to advance toward the upper boundary, which currently resides around $48,000. However, the Bitcoin price is anticipated to face resistance at this level and retrace towards the lower boundary at approximately $34,000. 

Following the retracement, a rebound toward the upper boundary, potentially reaching around $57,000, could be expected.

The upcoming decision by the SEC regarding spot Bitcoin ETF applications adds a layer of significance to Bitcoin’s price movement. The approval of Bitcoin ETFs has been a subject of great interest within the cryptocurrency community, as it can enhance liquidity and provide greater legitimacy to the cryptocurrency market. 

While the outcome of the SEC decision remains uncertain, the ascending parallel channel pattern reveals a compelling technical perspective that could impact Bitcoin’s price trajectory.

Critical Moment For BTC? 

Supporting the upside potential of the Bitcoin price in Martinez’s analysis, crypto analyst Rekt Capital highlights the importance of BTC’s ability to establish a strong support level at $43,900.

According to Rekt Capital’s analysis, Bitcoin is exhibiting promising signs as it strives to reclaim the top of the pattern at $43,900 as a support level. 

Bitcoin

This level holds importance in determining the cryptocurrency’s ability to sustain upward momentum. Rekt Capital suggests that a daily candle close above this resistance is essential for Bitcoin to make another attempt at moving higher.

The successful establishment of $43,900 as a support level and a daily candle close above this resistance would signify a positive development for Bitcoin’s upside potential. 

It would indicate a renewed bullish sentiment and potentially pave the way for further price appreciation. However, failure to overcome this resistance level and ending up as an upside wick could hinder Bitcoin’s ability to sustain upward momentum in the short term.

Bitcoin price

On Wednesday, Bitcoin trades at $44,000, followed by a news-driven dip toward the $40,800 level.

Featured image from Shutterstock, chart from TradingView.com 

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Bitcoin At $45,000 Is Mispriced, Will Race For ETF Fees Push Prices To Record Highs?

Most analysts are optimistic that the impending launch of spot Bitcoin exchange-traded funds (ETFs) in the U.S. could propel the coin to new heights, way above the $69,000 mark registered in November 2021.

Andrew Kang, co-founder of Mechanism Capital, believes that Bitcoin at $45,000 is still grossly undervalued. This is given the anticipated influx of institutional investment from ETFs, and the effort issuers will put into marketing their products as they aim to accrue billions in fees in the months ahead.

Learning From Gold And Quest For Fees

Kang points to gold ETFs, which hold over $120 billion in assets under management (AUM) and generate an estimated $720 million in annual fees for their issuers. ETF issuers will charge a management fee to cover the costs associated with operating the ETF, including custody of coins and trading. Additionally, a fee will be charged through the bid-ask spread whenever Bitcoin is traded.

When trading and management fees are stacked, Bitcoin issuers could generate billions of dollars yearly, especially if trading volume is high. By Kang’s estimation, Bitcoin ETF issuers might generate between $10-20 billion in annual fees.

However, this is subject to dominance. After the Securities and Exchange Commission (SEC) approves multiple spot ETFs, issuers, including BlackRock and Fidelity, are expected to wage an aggressive battle for market share. 

The goal for issuers is not only to ensure that funds spent on advertising yield, but for every dollar spent, more is generated into the future. This is critical because investors are less likely to switch once they choose an ETF, making early dominance crucial for long-term revenue generation.

Is Bitcoin Ready For A 10X?

According to observers, issuers will promote Bitcoin at every opportunity. This is why ChainlinkGod while responding to Kang’s post on X, thinks Bitcoin will also likely track 10X in the sessions ahead since all issuers are “inherently long” on Bitcoin.

Looking at price charts, Bitcoin continues to edge higher, recently rising to as high as $45,800, according to price data. At this pace, BTC bulls extended gains of 2023. This will be as the community expects the SEC to approve the first Bitcoin ETFs. Even so, it is unclear when the agency will greenlight this product immediately. 

Bitcoin price trending upward on the daily chart | Source: BTCUSDT on Binance, TradingView

BTC has critical support at around the $44,000 zone, marking 2023 highs. If bulls maintain prices above this line, the odds of the coin rising to $50,000 in a buy trend continuation pattern will likely increase.

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Coinbase Custody Head Departs As Crypto Giant Prepares For Bitcoin ETF Services

According to Bloomberg, Coinbase Global has recently experienced a change in leadership within its custody division. The departure of Aaron Schnarch, former CEO of Coinbase Custody, has been confirmed by a spokesperson, who also revealed that Schnarch was replaced by Rick Schonberg in August.

Per the report, the transition aligns with Coinbase’s efforts to offer services to applicants of spot Bitcoin (BTC) exchange-traded funds (ETFs).

Coinbase Affirms Readiness For Bitcoin ETF Approval

Rick Schonberg, who joined Coinbase in 2021, aims to provide experience to his new role, having previously worked at reputable financial institutions such as Goldman Sachs, State Street, and Tagomi, according to Bloomberg. 

Coinbase on the other hand, has emerged as the preferred choice for custodial services among Bitcoin ETF applicants, including industry giants like BlackRock, Franklin Templeton, and Grayscale Investments.

Custody services play a crucial role for potential managers of spot Bitcoin ETFs, as investors rely on these providers to securely safeguard their digital tokens.

Notably, a Coinbase spokesperson emphasized the company’s preparedness for ETF approval, stating to Bloomberg: 

We have extensively prepared for ETF approval. Our systems have been designed and tested to handle added trading volume, increased liquidity, and general increases in demand on our systems.

Coinbase Custody, operating as a trust company, falls under the regulatory oversight of the New York Department of Financial Services and undergoes auditing by Deloitte & Touche.

Countdown To Historic Decision

The race to obtain regulatory approval for the first ETF directly investing in the largest cryptocurrency, Bitcoin, is entering a critical phase. 

The US Securities and Exchange Commission (SEC) faces a deadline of January 10 to decide whether to approve a spot Bitcoin ETF application submitted by ARK Investment Management, led by Cathie Wood, and 21Shares, along with potentially other similar filings.

Overall, the departure of Aaron Schnarch and the subsequent appointment of Rick Schonberg within Coinbase Custody highlight the company’s strategy to the growing demand for custodial services from Bitcoin ETF applicants. 

With the potential approval of spot Bitcoin ETFs on the horizon, the industry eagerly awaits the SEC’s decision, which will have far-reaching implications for the adoption and mainstream acceptance of cryptocurrencies.

Coinbase

Bitcoin, the largest cryptocurrency in the market, is currently trading at $42,100, representing a 1.1% decline over the past 24 hours. 

In recent weeks, BTC’s price has been consolidating above $40,000, exhibiting sideways movement since the beginning of December. However, it has achieved a notable gain of over 11% in the last 30 days.

It remains to be seen how the price of BTC will react to the potential approval of these index funds by the largest asset managers in the world, and what other impact it will have on the overall crypto market.

Featured image from Shutterstock, chart from TradingView.com

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Cathie Wood’s ARK ETF Overhauls Bitcoin Portfolio: ProShares In, Grayscale Out – What’s The Strategy?

In a significant shake-up of its Bitcoin (BTC)-related holdings, Cathie Wood’s ARK Next Generation Internet exchange-traded fund (ETF) has made strategic changes as BTC ends the year with a significant 156% surge.

According to a Bloomberg report, the ETF sold all its remaining 2.25 million shares of the Grayscale Bitcoin Trust (GBTC) while acquiring 4.32 million shares of the ProShares Bitcoin Strategy ETF. 

Caution As Reason For Exiting Grayscale Bitcoin Trust

According to Bloomberg, Wood cited caution as the reason behind the sale of the Grayscale Bitcoin Trust. The move was prompted by concerns that the anticipated conversion of the trust to a spot Bitcoin ETF might not receive approval from US regulators in early January. 

Additionally, Wood highlighted the substantial reduction in the trust’s discount to its net asset value, which, combined with its price increase, influenced the decision.

Wood emphasized the unpredictability surrounding which Bitcoin-related offerings would gain regulatory approval, expressing optimism about Bitcoin while acknowledging the uncertainty ahead.

In this regard, Bloomberg ETF expert Erich Balchunas highlights that approximately $100 million of the proceeds were used to purchase the ProShares Bitcoin Strategy ETF (BITO), likely as a liquid transition vehicle to maintain exposure to Bitcoin while gradually transitioning into either ARKW or ARKB.

Bitcoin

Interestingly, ARK has now become the second-largest holder of BITO, although Balchunas clarifies that this is a temporary parking spot. Blachunas emphasizes that institutions, including ARK, often employ highly liquid ETFs for transitions of this nature. 

Balchunas also points out that this move aligns with the prediction made by Bloomberg a month ago, reflecting strategic foresight on ARK’s part. 

According to Balchunas, this decision is smart as it allows ARK to boost its own ETF’s assets under management (AUM) while saving investors from incurring a significant expense ratio in the process.

Wood’s Long-Term Vision

Per the report, the reduction in holdings of the Grayscale Bitcoin Trust has been a gradual process for Cathie Wood, even as the price of Bitcoin surged to its highest level since April 2022. 

Throughout 2023, Bitcoin more than doubled in value, with significant gains occurring towards the end of the year amid speculation that the Securities and Exchange Commission (SEC) would approve spot Bitcoin ETFs in the first days of January 2024.

During the Sohn Australia conference last month, Wood touted the Grayscale Bitcoin Trust as her top pick. However, recent developments have led to a shift in the ETF’s portfolio composition.

In addition to the changes involving Grayscale and ProShares, the ARK ETF also purchased 20,000 shares of the ARK 21Shares Active Bitcoin Futures Strategy ETF and sold 148,885 shares of the cryptocurrency exchange Coinbase Global, according to the fund’s report.

The ARK Next Generation Internet ETF has achieved an impressive 103% gain for the year, surpassing the 55% advance of the Nasdaq 100 Index. 

It is worth noting that the fund’s performance has been characterized by significant volatility, experiencing declines of 19% and 67% in 2021 and 2022, respectively.

Bitcoin

The leading cryptocurrency in the market is trading at $42,800, exhibiting a sideways price movement over the past 24 hours. During this timeframe, there has been a marginal decrease of 0.3% in its value.

Featured image from Shutterstock, chart from TradingView.com 

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Bitcoin Price Prediction: ETC Group Anticipates Surpassing $100,000 By End 2024

Numerous price predictions have emerged as the Bitcoin price continues to demonstrate significant growth throughout the year, fueled by factors such as the upcoming halving event and potential approval of a spot Bitcoin exchange-traded fund (ETF) by the US Securities and Exchange Commission (SEC). 

Notably, the ETC Group has released a comprehensive report shedding light on the potential for new all-time highs in 2024 and an impressive milestone of $100,000 by year-end.

Bitcoin Price Recovery Sets The Stage For A Promising 2024

According to the ETC Group’s recent report, 2023 served as a recovery year for Bitcoin and crypto assets, with pivotal catalysts setting the stage for the following year. 

Per the report, BlackRock’s spot Bitcoin ETF filing in June 2023 laid the groundwork for increased adoption of this emerging asset class in 2024 and beyond. 

Despite the progress made, the report highlights that Bitcoin and other cryptocurrencies are still in their infancy in terms of adoption in most developed countries. 

Global surveys indicate an adoption rate of approximately 18%, suggesting that roughly one in five individuals worldwide holds some crypto asset.

One of the highly anticipated events expected to drive Bitcoin price appreciation is the BTC Halving scheduled for the end of April 2024. While some argue that the halving is already priced in due to its public knowledge, historical data demonstrates significant price increases following previous halvings. 

Notably, the ETC Group’s base case prediction forecasts that Bitcoin’s price will reach new all-time highs in 2024 and surpass $100,000 by the year’s end.

On-Chain Metrics Signal Bullish Outlook For BTC In 2024

Several on-chain metrics indicate that Bitcoin’s supply is scarcer this cycle than the previous one.  According to the report, key indicators such as the percentage of exchange supply at a 5-year low and the all-time high percentage of supply in the last 1+ years suggest a potential bull market with increased distribution of accumulated coins to new investors. 

Additionally, macro factors, including the potential approval of a spot Bitcoin ETF in the US, a likely US recession, a reversal of monetary policy, and geopolitical risks, contribute to a favorable outlook for the Bitcoin price in 2024.

A major point of discussion among investors revolves around the potential price impact if a spot Bitcoin ETF gets approved in the US. The report highlights that variations in global Bitcoin ETP flows have explained approximately 40% of Bitcoin’s price variation over the past six months. 

Assuming that 20% of investors would consider such an investment and allocate 3% of their assets under management (AuM) to Bitcoin, an estimated $33.5 billion of new capital could enter the market. 

This influx of funds, almost doubling the global Bitcoin ETP AuM, could lead to a price impact of around 98%.

Overall, the ETC Group’s in-depth analysis and predictions suggest an auspicious year for Bitcoin price 2024. With anticipated new all-time highs and the possibility of surpassing $100,000 by year-end, Bitcoin’s growth trajectory shows no signs of slowing down. 

Bitcoin price

Featured image from Shutterstock, chart from TradingView.com 

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Countdown To Bitcoin ETF 2024 Decision: Traders Employ Hedging Tactics, Bloomberg Unveils

As the long-awaited deadline for a positive or negative decision on spot Bitcoin ETF applications approaches, Bloomberg reports that the BTC options market is seeing increased hedging activity as traders prepare for a crucial decision on January 10th.

The report indicates a surge in open interest for put options expiring on Jan. 12, suggesting that market participants are taking steps to mitigate potential losses in the event of a negative verdict by the US Securities and Exchange Commission (SEC) regarding these index funds holding the cryptocurrency. 

Market Readies For Bitcoin ETF Verdict

The Bloomberg report highlights that the open interest for put options, which allow holders to sell Bitcoin, has seen a significant increase for contracts expiring on January 12. 

This surge in open interest has resulted in a higher put-to-call ratio for these specific options compared to contracts with expiration dates further out from the January 10 deadline. 

As seen in the chart below, the most prominent strike prices for the put contracts are $44,000, $42,000, and $40,000, respectively, indicating that put holders could exercise their options to minimize losses in case of a negative market reaction to the SEC decision.

Bitcoin ETF

The put-to-call ratio, considered a measure of overall market sentiment, stands at 0.67 for the January 12 options contracts, indicating a more cautious approach among traders. 

Ryan Kim, head of derivatives at FalconX, suggests that leveraged/speculative traders are employing Bitcoin put options to protect their leveraged longs, anticipating significant price movements in either direction. 

The higher put-call ratio for January 12 options further reflects the market’s desire for protection against a potential negative decision.

The surge in open interest for put options expiring on January 12 indicates a growing need for protection in case of an unfavorable ruling. While Bitcoin’s rally has softened the impact of its 2022 decline, market expectations for ETF approval may already be priced in, posing potential risks for the market. 

BTC’s Price Resistance And Potential Dip 

Bitcoin has experienced a remarkable rally this year, with expectations for ETF approval driving its price up by more than 60% since mid-October. 

However, the Bloomberg report suggests that the surge in demand for the anticipated ETFs may already be factored into the token’s price, potentially exposing the market to a “sell the news” scenario in the second week of January. 

Furthermore, QCP Capital, a Singapore-based crypto asset trading firm, predicts topside resistance for Bitcoin in the range of $45,000 to $48,500 and a possible retracement to $36,000 levels before the uptrend resumes.

Bitcoin ETF

Bitcoin is currently trading at $43,400, experiencing a 1% decline over the past 24 hours. Over the past 14 days, the cryptocurrency has shown a sideways price movement with a slight decrease of 0.4%. 

Given Bitcoin’s well-known volatility, it remains uncertain how the market will react as the looming decision and potential catalysts draw near, and how these factors will impact its price dynamics.

However, the upcoming decision is not the sole catalyst that can potentially drive Bitcoin’s price in 2024. The cryptocurrency is also anticipated to experience a significant catalyst in April 2024, known as the halving event. 

This event has historically resulted in an upward surge in Bitcoin’s price, and it is predicted to propel the cryptocurrency beyond its previous all-time high (ATH) of $69,000 throughout the upcoming year.

Featured image from Shutterstock, chart from TradingView.com