How ETFs are shaping crypto markets
The approval of spot bitcoin exchange-traded funds (ETFs) in the United States has brought a big change to the cryptocurrency market, fueling demand and fundamentally changing market dynamics.
In our new video, Cointelegraph talks to experts about the potential impact of this milestone and the potential for additional ETFs to be approved in the United States.
“It's really not just about the US market,” said Ophelia Snyder, co-founder of 21Shares. “Once the U.S. regulator removes the big risk that Bitcoin is going to do, it will change what the asset's risk-return profile is,” she said.
Shortly after their approval, the space's Bitcoin (BTC) products became one of the most successful ETF launches in history, attracting billions in capital inflows. This shows the huge appetite for Bitcoin among institutional investors.
“We'll see more than $15 billion by the end of the year,” predicts Eric Balchunas, senior ETF analyst at Bloomberg.
While the Spot Ether (ETH) ETF may begin trading soon, most analysts agree that it is unlikely to be as successful as it once was. Still, such an investment product will increase Ether's popularity among institutional investors. “It's an invitation to learn more about the Ethereum ecosystem,” said Galaxy's head of communications, Michael Wurstorn.
To learn more about how ETFs are driving crypto markets, watch the full video on Cointelegraph's YouTube channel, and don't forget to subscribe!
