The world's largest asset manager blackrock, is awaiting approval from the Securities and Exchange Commission (SEC) for the first Bitcoin spot ETF.
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Here's everything you need to know
So far, most of the world's "investable" money has been confined to cryptocurrency markets. This is because it is owned by large financial institutions and most of these institutions have rules that limit their ability to deposit large client funds directly into Cryptocurrencies.
A Bitcoin ETF would essentially allow these large companies and investors to bypass these laws and invest in Cryptocurrencies with client funds through an exchange-traded ETFs.
If it is one or several Bitcoin ETFs and they are approved next week, it will catalyze a new flow of money into the cryptocurrency markets.
Similarly, as we moved into this new year, stocks and cryptocurrencies behaved in much the same way. And after a hot rally, both are now taking a healthy breather.
Additionally, this latest period of volatility comes along with a possible approval of Bitcoin exchange-traded funds (ETFs) on deck for next week.
The approval marks a major change in the financial landscape, bringing a major investment vehicle tied to the world's leading digital currency Bitcoin.
Consider the following: Financial firm VanEck estimates that about $300 million will flow into Bitcoin ETFs in the first few days of trading. Within a quarter, he expects that number to more than double to $750 million. Within two years, inflows will likely top $40 billion.
Bitcoin Technical Analysis
The technical analysis on Bitcoin shows us that we are still in the bullish line, however what I would like to see is it holding the $47,000 level and reaching the target of $48000 to make a sideways situation in Bitcoin.
My view on Bitcoin ETFs is that the news is not positive the market needs to correct, anyway Bitcoin soot ETFs has long-term positive benefits than as a simple news, because let's not forget that for so many months we trade simply the news about Bitcoin Spot ETFs