The post Crypto’s uncertain path: The Bitcoin ETF dilemma in America appeared on BitcoinEthereumNews.com.

The narrative around the emergence of a Bitcoin ETF in the U.S. paints a picture of inevitability and positive outcomes. Recent developments, such as asset management behemoth BlackRock aligning with the Securities and Exchange Commission’s (SEC) preferred ETF model, indicate a readiness to tap into the so-called “pent-up interest” that Larry Fink of BlackRock referred to. This month, Bitwise’s high-profile advertising campaign featuring Jonathan Goldsmith, suggests that big players are ready to invest heavily in marketing for a Bitcoin ETF, anticipating the SEC’s approval. The Hype and Reality of a Bitcoin ETF The buzz surrounding a potential Bitcoin ETF in the U.S. has reached a fever pitch, with many in the crypto space convinced that SEC approval is just around the corner. This sentiment is fueled by the constant discussion and media coverage, creating a sense that the SEC’s approval is inevitable and will be a game-changer for Bitcoin’s value. Nicholas Scherling of DeCryptoFi echoed this sentiment, predicting a rapid price surge upon approval. However, the reality might be more nuanced. While a price increase and a frenetic first day of trading for any approved ETFs are likely, the enthusiasm from general investors is still questionable. Recent survey data from Needham, covered by Benzinga, indicates a prevailing disinterest among clients about Bitcoin and its ETFs. The survey suggests that investment advisors, rather than clients, might be the primary drivers of interest in Bitcoin ETFs, with their focus more on the asset’s price than the ETFs themselves. Navigating the ETF Landscape If and when an American Bitcoin ETF gets the green light, its trajectory might follow that of other crypto-related financial products: a strong start, followed by a gradual process of market penetration. This scenario will likely be driven more by the efforts of financial advisors and product sellers, who will…

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Filed under: News - @ December 29, 2023 11:12 pm