Bitcoin ETFs to push US slice of crypto ETF trading volume to 99.5% — Analyst
The United States could make up for 99.5% of the international trading volume for crypto-related exchange-traded funds (ETF)– however just if area Bitcoin ETFs are authorized, according to a Bloomberg ETF analyst.Currently, North America accounts for 97.7% of all crypto ETF trading volume, Bloomberg senior ETF analyst Eric Balchunas exposed in an Aug. 10 X (Twitter) post. On Aug. 10 Bitwise submitted an updated prospectus to change its BITC fund from a Bitcoin futures ETF to the “Bitwise Bitcoin and Ether Equal Weight Strategy ETF”. WGMI is an actively handled fund readily available through Nasdaq that invests in public business in the Bitcoin mining industry such as Marathon Digital, Riot, and Cipher Mining.Many of the top-listed mining companies have actually seen their stocks exceed Bitcoin this year which might describe the excellent efficiency of items such as WGMI.Related: ETF expert raises spot Bitcoin ETF approval possibilities in the US to 65%The VanEck digital change ETF was 2nd on the list with a return of 182% so far this year.
Other leading crypto-related ETPs included the Global X Blockchain ETF (BKCH) with 168% YTD, Bitwise Crypto Industry Innovators ETF (BITQ) likewise returning 168%, and Invescos Alerian Galaxy Crypto Economy ETF (SATO) with 162% so far in 2023. Asia Express: Chinas dangerous Bitcoin court choice, is Huobi in problem or not?
The United States might make up for 99.5% of the global trading volume for crypto-related exchange-traded funds (ETF)– however only if spot Bitcoin ETFs are authorized, according to a Bloomberg ETF analyst.Currently, North America accounts for 97.7% of all crypto ETF trading volume, Bloomberg senior ETF analyst Eric Balchunas revealed in an Aug. 10 X (Twitter) post. On Aug. 10 Bitwise submitted an upgraded prospectus to change its BITC fund from a Bitcoin futures ETF to the “Bitwise Bitcoin and Ether Equal Weight Strategy ETF”. WGMI is an actively handled fund readily available through Nasdaq that invests in public companies in the Bitcoin mining industry such as Marathon Digital, Riot, and Cipher Mining.Many of the top-listed mining companies have seen their stocks outperform Bitcoin this year which might explain the excellent efficiency of items such as WGMI.Related: ETF expert raises area Bitcoin ETF approval opportunities in the United States to 65%The VanEck digital change ETF was second on the list with a return of 182% so far this year.
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Other Questions People Ask
What impact will Bitcoin ETFs have on the US slice of crypto ETF trading volume?
According to a Bloomberg ETF analyst, the approval of spot Bitcoin ETFs could propel the United States to account for 99.5% of the global trading volume for crypto-related exchange-traded funds. Currently, North America holds 97.7% of this volume, indicating a significant potential increase. This shift could enhance the attractiveness of US markets for crypto investors and institutions alike.
How does the performance of Bitcoin mining companies relate to Bitcoin ETFs?
The performance of Bitcoin mining companies has been notable this year, with many stocks outperforming Bitcoin itself. This trend may explain the strong performance of actively managed funds like WGMI, which invests in these mining firms. As Bitcoin ETFs gain traction, the success of these mining companies could further influence investor sentiment and ETF performance.
What are the implications of Bitwise's updated prospectus for Bitcoin ETFs?
Bitwise's recent submission to change its BITC fund from a Bitcoin futures ETF to the "Bitwise Bitcoin and Ether Equal Weight Strategy ETF" reflects a strategic shift in the ETF landscape. This move could attract more investors looking for diversified exposure to both Bitcoin and Ether. If spot Bitcoin ETFs are approved, such changes may become more common as firms adapt to market demands.
What are the top-performing crypto-related ETFs this year?
This year, several crypto-related ETFs have shown impressive returns, with the VanEck digital transformation ETF leading at 182%. Other notable performers include the Global X Blockchain ETF and Bitwise Crypto Industry Innovators ETF, both returning 168%. These strong performances highlight the growing interest in crypto investments and the potential for further growth if spot Bitcoin ETFs are approved.
What is the current status of Bitcoin ETF approvals in the US?
The approval of spot Bitcoin ETFs in the US remains uncertain, but recent analyses suggest a 65% chance of approval. This potential shift could significantly impact the market, allowing for increased trading volume and investor participation. As firms continue to submit updated prospectuses, the landscape for Bitcoin ETFs is evolving rapidly, making it a critical area to watch.