Topic: Bitcoin ETF trivia continues, applications getting reviewed - Funds will drive (Read 128 times)

You made a valid point that introduction of  ETFs could be seen as an attempt to centralize Bitcoin under the cover of Bitcoin's inherent nature of decentralization, as these prominent institutions will release substantial amount shares against their real Bitcoins holdings. This is indeed a concerning aspect. it is also important to acknowledge that these shares could serve as a driving force for wide spread adoption of Bitcoin, specially when general public begins to purchase these share in anticipation of making substantial profit in future.

I can not agree more with your statements and i do know these ETFs will act as a catalyst. But why even in the Tight monetary policies These ETFs will not impact the price of BTC. Because these tight monetary policies are the one that are bringing those ETFs for better adoption of Centralization under the skin of real BTC (means decentralization).

There's a large backlog of ETF applications to process, so the earliest the mini-hype over ETFs can start is after a couple of months. And also the Bitcoin ETF application reviewer is none other than the SEC (which historically has an acute dislike of these kind of financial products) who is now under pressure to approve at least some of them. So don't hold your breath that the price will take off anytime soon.

I agree with your viewpoint about possible effects of ETF approval on Bitcoin price. Indeed, such approval can act as a catalyst in boosting Bitcoin's market dominance and marketcap. However, it is difficult to accurately predict the timing of these approvals, although I think eventually it will obtain approval from SEC as applicants like BlackRock are highly influential and heavily funded.

Regarding the influence of halving event on Bitcoin price, the prevailing unwelcoming investment environment due to tight monetary policies, I am afraid it might not have substantial effect on Bitcoin price.

This will also attract the customers who are always afraid  of the pure decentralization but always wanted to posses the Bitcoin.

This is not something new in fact i think the reason behind the delays have something to do with the halving of bitcoin and what's that relation i can not say for sure but there are two possibilites which are if ETFs got approved then these will act as a boost to the BTC dominance and market cap as the demand of BTC will increase and the second possibility is if they (ETFs) get declined then it will provide another buying opportunity for many investors who still have some fiat in their bags.

Well, other than that, the halving period will still happpen and it will still impact the price of BTC. If there is any other possibility then i am opened all ears. And i can not agree more to your thoughts that i have bolded.

The reason why I added "fund will drive" is because Bernstein thinks that ETF has made things very easy for the investors. With the giant backings like blackRock and Ark 21Shares bitcoin ETF applications we have upper hand in thinking that Bitcoin is really gonna get safe place for the trading environment. This will also attract the customers who are always afraid  of the pure decentralization but always wanted to posses the Bitcoin. I think this will have positive flux on the investors and might just drive more funds in the time to come.

We are also on the verge of having halving event. This is well known and effective one to attract more people into Bitcoin economy as the volatility goes crazy during this period. The sudden drop in prices can make huge impact on true investors and they might start buying more and more.

New capital will enter the market from fresh stablecoin supply, tokenization of traditional assets, native crypto infrastructure tokenization and ETFs, the report said.

Crypto exchange-traded-funds (ETFs) add capital to the market not just by creating demand in the spot market, but the market signal of regulatory approval of these products produces a growth flywheel for retail and other institutional flows that are seeking legitimacy, broker Bernstein said in a report Monday.
“With the interest of leading global asset managers in bitcoin (BTC) spot ETFs and potential mechanisms to address the U.S. Securities and Exchange Commission (SEC) objections, the probability of approval has risen,” analysts led by Gautam Chhugani wrote.

Bernstein expects a spot bitcoin ETF market to be sizable, reaching 10% of bitcoin’s market cap in two to three years.
The SEC extended its review of the Ark 21Shares bitcoin ETF application on Friday, as the regulator continues to assess applications from traditional finance heavyweights such as BlackRock (BLK) and Fidelity Investments.
Cryptocurrency ETF’s will benefit from a “strong brand marketing push by leading global asset managers,” and a “distribution push from retail brokers and financial advisors,” the note said.
The broker says new capital to power up a new crypto cycle will come from fresh stablecoin supply, tokenization of traditional assets, native crypto infrastructure tokenization and ETFs.