How ETFs are reshaping the crypto markets
The approval of spot Bitcoin exchange-traded funds (ETFs) in the United States has been a game-changer for the cryptocurrency market, sparking a significant surge in demand and fundamentally altering market dynamics.
In our latest video, Cointelegraph talked with experts about the profound impact of this milestone and the prospects for more ETFs being approved in the United States.
“It’s not actually just about the U.S. market,” said Ophelia Snyder, co-founder of 21Shares. “Once you remove this major risk of what is the U.S. regulator going to do about Bitcoin, it changes what the risk-return profile of the asset is,” she ad.
Shortly after their approval, the spot Bitcoin ( BTC ) products became one of the most successful ETF launches in history, attracting billions of capital inflows. This shows the large appetite for Bitcoin among institutional investors.
“We’re probably going to see way more than $15 billion by the end of the year,” predicted Bloomberg senior ETF analyst Eric Balchunas.
While a spot Ether ( ETH ) ETF is likely to begin trading soon, most analysts agree it is unlikely to be as successful as its predecessor. Still, such an investment product would likely increase Ether’s popularity among institutional investors. “It’s an invitation to understand more about the Ethereum ecosystem,” argued Michael Wursthorn, head of communication at Galaxy.
To find out more about how ETFs are reshaping the crypto markets, check out the full video on Cointelegraph’s YouTube channel, and don’t forget to subscribe!
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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