The recent registration by BlackRock for a spot Bitcoin exchange-traded fund (ETF) has caused the cryptocurrency industry to experience a surge of excitement. Chief market strategist Gareth Soloway of InTheMoneyStocks.com believes the SEC will approve the long-awaited ETF in the United States. The approval is expected to happen eventually, according to Soloway’s analysis.
In an interview with Daniela Cambone of Stansberry Research, Soloway described the SEC’s approval of the spot Bitcoin ETF as a symbolic gesture. According to him, it would represent a significant symbolic concession to the cryptocurrency markets. The approval of the spot Bitcoin ETF by the SEC would offer a modest concession to the cryptocurrency markets. This gesture comes in the face of increasing scrutiny and legal challenges encountered by the industry.
The Impact of the Expected Approval of a Spot Bitcoin ETF
Although Soloway expects the ETF approval, he does not believe it will significantly alter the cryptocurrency market. Soloway emphasizes that emotions drive 99% of the market and highlights the availability of several ETFs for other assets such as gold. Soloway provides a cautionary warning that even with the ETF’s approval, Bitcoin could experience a notable decline this year. He suggests potential downside targets of $20,000, $15,700, or even lower.
According to the most recent information received on July 6, at press time, Bitcoin was trading at $30,607, representing a 0.93% increase for the day, a minor loss of 0.1% over the previous week, and a significant gain of 19.62% on the monthly chart.
The SEC’s expected approval of a spot Bitcoin ETF is a positive development for cryptocurrency markets. It would provide investors with a conventional investment vehicle to participate in digital assets. Market analysts caution that due to Bitcoin’s volatility, it is crucial to consider potential corrections while navigating the cryptocurrency landscape. They emphasize the importance of staying vigilant in this constantly changing market.