Galaxy Digital, the cryptocurrency-focused investment company of famous billionaire Mike Novogratz, reported the possible effects of spot Bitcoin (BTC) ETF approval.
Galaxy Digital research associate Charles Yu 24 October In a blog post, he shed light on what might happen if spot Bitcoin exchange-traded fund (ETF) applications are approved in the USA.
Experienced researcher says money inflows in the first year after spot Bitcoin ETF approval to 14 billion dollarsin the second year to 27 billion dollarsin the third year to 39 billion dollars He stated that it is expected to come out. These assets are mostly corporate companies He reminded that it would be due to his entry into the sector.
Bitcoin price will increase by 74%
Charles Yu based on gold ETFs Bitcoin ETF It also evaluated the potential effects of fund inflows on the prices of its products. Bitcoin price in the first month after ETF approval will increase by 6.2% and slowly losing value in the 6-month period after this increase An increase of 3.7% He claimed that the rate would decrease.
On the other hand, after ETF approvali 2 years Bitcoin price in the process 74% will gain value and considering the current price 59,200 He wrote that it could reach USD.
Charles Yu confirms approval on spot Bitcoin ETFs of delay or rejection of He emphasized that it would affect the price forecast. Additionally, ETF approval “secondary” effects He underlined that it could be possible and that he did not include them in the calculation he currently presented:
In the near term, we expect other global/international markets to follow the US and approve similar Bitcoin ETF offerings and make them available to a wider audience of investors. There will also be secondary effects of ETF approval, but I did not include these effects in my calculation.