After being approved by the SEC earlier this month, the spot Bitcoin ETF saw a significant price spike to reach $47,000, before eventually dropping back below $40,000. Despite Bitcoin's recovery, more than a third of consumers still believe that Bitcoin's price will fall below $20,000 by the end of the year.
More than a third believe that Bitcoin prices will remain below that figure by the end of the year.
Not only are we pessimistic about #Bitcoin prices, our dbDIG survey in January also found that more than half of our respondents expressed concern about the possible collapse of major cryptocurrencies in the next two years.
Most People Believe That Other Major Cryptos Will Disappear or Collapse by 2026
While consumers remain cautious, nearly $4 billion in funds have flowed into the new #BitcoinETF💰💰💰 , increasing total trading volume to nearly $7 billion. To date, Blackrock has received more than $1.4 billion in cash flow. Meanwhile, Fidelity has received nearly $1.3 billion.
Most of this funding flow comes from investors switching from Grayscale funds. Grayscale previously dominated the regulated Bitcoin investment market, but the arrival of cheaper ETF options has led to outflows of -$2.8 billion.
The SEC's approval of the ETF came with a warning from Chairman Gary Gensler.
He emphasized that "Bitcoin is primarily a speculative and volatile asset that is also used for illicit activities... investors should remain cautious." Our dbDIG survey clearly shows a lack of understanding about cryptocurrencies, as two-thirds of consumers have minimal or no understanding of these digital assets.
Following the initial success of #BitcoinETF , there will likely be more ETFs to come.
A total of 7 ETFs #Ethereum are still pending, with the SEC's first decision expected in mid-May. ProShares has also announced plans to launch five additional ETFs, including one that will provide twice the daily exposure to an index tracking Bitcoin.
The crypto world is gradually moving towards greater institutionalization as traditional financial players enter the market. By expanding regulated access to crypto, the upcoming ETF approval could drive further mainstream adoption.
Comprehensive regulation is also on the horizon, with EU Crypto Asset Markets regulations due to come into effect later this year. A clearer regulatory framework will encourage crypto assistance to become a more established asset class.
Sumber: FastBull
