Here Are the Coins that Will Benefit the Most from the Bitcoin ETF Approval
Some cryptocurrencies are likely to benefit more than others following the SEC’s spot Bitcoin ETF approval in the USA.
Spot Bitcoin ETF approval give non-web3 savvy retail and institutional investors easy access to gain direct exposure to Bitcoin (BTC).
Spot Bitcoin ETF approval is thus expected to unlock a wave of new demand for the cryptocurrency.
With spot Bitcoin ETFs having attracted roughly $2.2 billion in demand on their first trading day, as per investment manager Timothy Peterson, we are already seeing signs of strong early demand.
1/ Today's #Bitcoin ETF stats by the numbers:
Estimated $2.2 billion new inflows across 10 funds (excludes $GBTC) pic.twitter.com/xM0cc2tVsc
— Timothy Peterson, CFA CAIA (@nsquaredcrypto) January 11, 2024
And this latest demand shock to the BTC market following Bitcoin ETF approval comes ahead of a looming supply shock.
In April, the Bitcoin issuance rate to network validators will half, reducing structural sell pressure.
Macro is also likely to be a major tailwind for crypto this year.
The US Federal Reserve is expected to start lowering interest rates.
Bitcoin ETF approval, the Bitcoin halving and a Fed rate-cutting cycle is a cocktail of bullish narratives that could easily launch BTC above $100,000.
But what other coins are set to benefit from the recent Bitcoin ETF approvals?
Ether (ETH), the native cryptocurrency that powers the smart-contract-enabled layer-1 Ethereum blockchain protocol, is set to benefit greatly.
That’s because major ETF providers in the US like BlackRock have already filed to set up spot Ethereum ETFs.
With spot Bitcoin ETFs having gained approval, it will be difficult for the SEC not to approve similar products.
While the SEC has labeled some major cryptocurrencies like
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