Approval of multiple spot Bitcoin ETFs is imminent and will happen within the next one to two months, not years, according to US hedge fund Pantera Capital.
According to the company, the ease of access to the companies launching the product, the low cost and the reliable nature of the companies will almost certainly attract new investors who have not previously participated in the Bitcoin market.
Pantera Capital founder Dan Morehead shared his thoughts on the future of Bitcoin ETFs. Morehead also offered his views on how the market might react to ETFs, which he says are almost certain to be approved.
Morehead pointed out that the market rose throughout 2017 and the slogan at the time was “When CME lists Bitcoin futures, Bitcoin price will skyrocket.” According to the founder, BTC, which rose by 2,448% in 12 months until futures transactions were launched, dropped by 84% with the launch of the product and the bear market began.
According to Pantera Capital, the market repeated the same cycle before Coinbase went public. The entire industry was excited about Coinbase's upcoming direct listing. On the day of the listing, Bitcoin price increased by 848% compared to 12 months ago. Bitcoin nearly peaked at $64,863 that day, and the bear market was down 76%.
Founder of Pantera Capital: “'Buy the Rumor, Sell the News' Might Not Happen This Time”
According to Morehead, although starting a prediction with “This time is different…” is usually not a good approach to start a prediction, the founder truly believes that this time is different. Thus, Morehead stated that he believes that the Bitcoin Spot ETF approval will be different from the 'buy the rumor, sell the news' events that occurred in the past period.
Morehead states that he firmly believes more than one spot Bitcoin ETF will be approved. He thinks this will happen within a month or two, not years.
*This is not investment advice.