Adam Back Issues Major Bitcoin ETF Prediction
u.today 30 July 2024 12:59, UTC The cryptocurrency ecosystem, particularly Bitcoin ETF buyers, will likely experience a major boost toward the end of this year. This prediction rests on anticipation of a $5 trillion model portfolio that might be allocated to spot Bitcoin ETFs later this year.
BlackRock’s bullish stance on Bitcoin
According to Adam Back, Blockstream CEO, in a post on X, the market should anticipate institutional investors with huge buying power to dominate the market. With $5 trillion worth of funds, Bitcoin ETF whales are likely to invest a majority of the capital into Bitcoin acquisition and consolidating their positions.
institutional ETF buying whale school is coming. #bitcoin https://t.co/ovvw8yyDvs
— Adam Back (@adam3us) July 30, 2024
Notably, analysts say that BlackRock, with its over $10 trillion Assets Under Management (AUM), will probably take the lead among asset managers in spot Bitcoin ETFs. Although other areas exist that could be of interest to these investors, such as healthcare, tech and artificial intelligence, the prediction favors digital assets more.
BlackRock, for instance, sees enormous potential in Bitcoin and has consistently bet on the digital asset to go bullish. Recently, Larry Fink, BlackRock’s CEO, lauded Bitcoin as a “portfolio diversified” and compared it to gold. This came after the asset manager recorded $525 million of Bitcoin ETF inflows.
Market volatility and investment strategy
Given this awareness update, market watchers predict stakeholders might soon begin consolidating their positions ahead of time to profit from the expected price rally. Although Bitcoin’s price almost breached the $70,000 level on Monday, July 29, 2024, the market volatility has seen its price drop 4.13% within the last 24 hours to $66,547.13, according to available data.
Analysts maintain that Bitcoin’s bullish run is due, and the price fluctuations are normal. They opine that investors could take advantage of the price drop to acquire more assets ahead of the anticipated price rally. A notable institutional investor, such as MicroStrategy, with a Bitcoin enthusiast Michael Saylor as chairman, remains focused on massive accumulation regardless of fluctuations.
