While market analysts awaited the possible approval of a spot Bitcoin ETF, they have shared their insights on its impact on the price of Bitcoin (BTC). In a post on
Analysts expect Bitcoin price to reach $48,000
According to Mister Crypto analysis, Bitcoin would see a 5% to 10% increase after the Spot Bitcoin ETF gets the green light. This means that BTC price could rise above the $48,000 level and reach a new high.
Additionally, he noted that speculative capital inflows have pushed the BTC price from $25,000 to $44,000 in the past few months. Therefore, the upcoming price surge could secure a return of almost 100% compared to the value of the cryptocurrency before the Bitcoin ETF speculation emerged.
Also Read: Crypto Lawyer Cites Legal Implications of Rejecting Spot Bitcoin ETFs
However, he noted that the near-term outlook depends on various factors, including the speed at which the ETF comes to market. Additionally, he explained that actual demand for the ETF and possible GBTC sell-offs could influence the expected BTC price rally. Mr Crypto added that while an initial surge is expected, a sell-off could occur in the days following approval.
At the time of writing, BTC price increased by 1.87% in value as the cryptocurrency traded at $43,892.31 on Friday, January 5, 2023. The price increase could be attributed to the possibility of early Bitcoin ETF approval. Furthermore, the market capitalization increased by 1.44% to $857 billion. However, the 24-hour trading volume fell by 15.77% to $34.83 billion.
When will the Spot Bitcoin ETF be approved?
Recent reports suggest that the US Securities and Exchange Commission (SEC) could announce its decision on spot Bitcoin ETF applications as early as January 5, 2024. While the exact timeline for approval and start of ETF trading remains uncertain, market sentiment is leaning towards approval before January 5, 2024. Deadline: January 20, 2024.
Additionally, major players such as Blackrock and Grayscale have attended several meetings with SEC officials. It has sparked a high level of interest and optimism in the crypto space. On the other hand, Ark Invest CEO Cathie Wood expressed confidence in the approval process, citing encouraging discussions with the SEC. Ark 21Shares expects the SEC to greenlight its Bitcoin ETF proposal by January 0, 2024.
Also Read: Bitcoin ETF Approval in Final Stage Ahead of SEC 19b-4 Filings: Report
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