Bitcoin ETF

Bitcoin

Impact

Spot

VanEck adviser Gabor Gurbacs took to X to analyze the possible initial aftermath of spot Bitcoin ETF when it is eventually launched.&nbsp;
<a href="https://twitter.com/gaborgurbacs/status/1741463685275476023?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1741463685275476023%7Ctwgr%5Ec725c11b5b42a8b48b85fc20775916e34a69976a%7Ctwcon%5Es1_&amp;ref_url=https%3A%2F%2Fcointelegraph.com%2Fnews%2Fspot-bitcoin-etf-launch-let-down-but-attract-trillions-vaneck" rel="noopener noreferrer nofollow">According</a> to the expert, the initial impact of the new physical product is currently being exaggerated. For his estimate, the spot Bitcoin ETF is not likely to see more than $100 million in net outflows, most of which he says will be from recycled money from large institutional investors.
Gurbacs pointed out that the launch of the Bitcoin ETF may not have an immediate effect on Bitcoin as expected but in the long run, there is a possibility of having it push trillions of dollars into the cryptocurrency ecosystem.&nbsp;
<h2 id="b-vaneck-predicts-2-4b-influx-following-bitcoin-etf-launch-b-span-style-font-weight-400-span">VanEck Predicts $2.4B Influx Following Bitcoin ETF Launch&nbsp;</h2>
Even though Gurbacs feels this way about the incoming spot Bitcoin ETF, it is worth noting that VanEck had previously forecasted a very bullish outlook for the product once launched. Last year, the investment management firm boldly declared that a <a href="https://thecoinrise.com/vaneck-anticipates-influx-of-2-4b-into-bitcoin-etf-in-2024/" rel="noopener noreferrer nofollow">substantial influx of $2.4 billion would move into Bitcoin ETF products</a> in the early months of 2024.
VanEck explained that this injection of funds will be a reflection of the notable pivot of institutional sentiments towards the flagship cryptocurrency as well as a symbol of the growing appetite for increased exposure to Bitcoin via the ETF route. Based on Gurbacs’ stance, the huge influx of funds into spot Bitcoin ETF is only achievable in the long run.
<h2 id="b-gold-etf-launch-push-price-of-gold-b">Gold ETF Launch Push Price of Gold&nbsp;</h2>
To give context to his long-term bullish sentiment for Bitcoin ETF, he highlighted the price appreciation of gold that followed the launch of its ETF. Global investment advisory firm State Street launched the first gold ETF about twenty years ago. Within the next eight years after the gold ETF launch, there was an exponential increase in the price of gold, from $400 to a
$1,800.
This price surge triggered a growth in the market capitalization of the asset as it rose from $2 trillion to $10 trillion within the same period.&nbsp;
<h2 id="b-bitcoin-to-replace-gold-etfs-b">Bitcoin to Replace Gold ETFs</h2>
Currently, BTC’s market cap is at $834 billion today, only about 41% of the market capitalization of gold in 2004.&nbsp;
Gurbacs perceives the likelihood of Bitcoin following in the footsteps of gold, especially with the widespread expectation for the spot Bitcoin ETF in the United States. Plus, top market player Michael Saylor already feels like <a href="https://thecoinrise.com/michael-saylor-believes-that-btc-etfs-will-replace-gold-etfs-in-the-near-future/" rel="noopener noreferrer nofollow">Bitcoin will outdo gold ETFs</a>.
The post <a href="https://thecoinrise.com/vaneck-exec-says-spot-bitcoin-etf-impact-is-being-exaggerated/" rel="noopener noreferrer nofollow">VanEck Exec Says Spot Bitcoin ETF Impact is Being Exaggerated</a> appeared first on <a href="https://thecoinrise.com" rel="noopener noreferrer nofollow">Latest News and Insights on Blockchain, Cryptocurrency, and Investing</a>.

VanEck Exec Says Spot Bitcoin ETF Impact is Being Exaggerated

Table of Contents

TheCoinrise Media

Other articles published on Jan 1, 2024

From AI to GameFi: Crypto Trends That Have Captivated Investors in 2023

ChainGPT AI NFT Saturday Spotlight: Winners for 12.30.

Shiba Inu token’s $44.64 million transfer sparks market buzz

New Year, New PEPE?: Can PEPE Coin Price 10x in 2024?

Interpreting Hong Kong's Regulatory Framework for Bitcoin Spot ETFs

CryptoGames Enhanced VIP Program and Highly Rewarding Wagering Contest – Win Up to $350,000

Join our free newsletter for daily crypto updates!