Saylor Changes View on ETH ETF Approval – Now Sees it as Good for Bitcoin
NAIROBI (CoinChapter.com) — MicroStrategy founder Michael Saylor has changed his view on the approval of spot Ether ETFs by the U.S. SEC and now sees it as good for Bitcoin. On May 25, during the “What Bitcoin Did” podcast, Saylor discussed with Peter McCormack the implications of this regulatory move. He now sees the approval as strengthening Bitcoin’s political and industry support.
Saylor’s Change of Heart
Michael Saylor’s change of heart and new view on Ether ETFs marks a significant shift from his earlier perspective. He believes the SEC’s approval of eight spot Ether ETFs on May 23 will accelerate institutional adoption. “Is this good for Bitcoin? Yeah, I think it’s good for Bitcoin,” Saylor said. He emphasized that this development enhances Bitcoin’s position by aligning the crypto industry politically.
Beagle’s post on X
Saylor argues that the approval of Ether ETFs could bolster Bitcoin’s position by providing additional political support from the broader crypto community.
“I think it may be better for Bitcoin because we are politically much more powerful [when] supported by the entire crypto industry,”
Furthermore, Saylor suggests that this development could accelerate institutional adoption of cryptocurrencies, as previously hesitant investors may now view the asset class as legitimate. He predicts that mainstream investors will allocate a portion of their portfolios to cryptocurrencies, with Bitcoin capturing the lion’s share, possibly 60% to 70% of the crypto allocation.
In the past, Saylor had expressed doubts about the likelihood of SEC approval for Ether and other cryptocurrencies like BNB, Solana, XRP, and Cardano. He had previously stated,
“None of [these tokens] will ever be wrapped by a spot ETF, none of them will be accepted by Wall Street, none of them will be accepted by mainstream institutional investors as crypto assets.”
Saylor on Ethereum Stirs Debate as Bitcoin Consolidates
Saylor’s shift has sparked discussions within the crypto community. Joe Carlasare, a Bitcoin commercial litigator, remarked on Saylor’s change of heart, noting it as a significant shift. Meanwhile, crypto analyst Ricky Bobbyy raised the question of whether Saylor’s endorsement might lead to him personally investing in Ethereum.
As of May 26, Bitcoin trades at $68,610.17, down 1.10% in the last 24 hours. The 50-day EMA at $65,158.96 serves as a critical support level, which, if breached, could lead to further downside towards the 200-day EMA at $54,877.25. Conversely, the resistance at $71,984.07 and $72,986.57 needs to be overcome for Bitcoin to regain bullish momentum.
BTC/USD 1-day price chart. Source: TradingView
The RSI at 57.14 indicates moderate momentum, suggesting that Bitcoin is neither overbought nor oversold. This level implies a potential for consolidation or a continuation of the current trend, depending on market conditions.
The approval of Ether ETFs is seen as a positive step for the entire crypto industry. Saylor highlighted that it serves as an additional line of defence for Bitcoin. He expects hesitant investors to view cryptocurrencies as a legitimate asset class now, leading to broader adoption.
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Filed under: Bitcoin - @ May 27, 2024 9:13 pm