📈Spot Bitcoin ETF: How It May Impact Bitcoin Price

The anticipation of the first spot Bitcoin ETF approval in the U.S. has taken the crypto community by storm. The SEC is inundated with applications from major investment firms, and Google searches for related terms have surged.

A fake news article from Cointelegraph claiming "greenlight" for a new product dramatically affected the market, driving digital gold's price to a psychological milestone of $30,000. The CEO of the applying company, BlackRock, attributed this market response to "unsatisfied demand for digital assets."

So, what exactly is this ETF, and how will it influence digital gold's price?

ForkLog delves into the significance of this new product for the crypto market and compiles expert forecasts.

Analysts predict a substantial flow of funds into a spot Bitcoin ETF should the SEC approve this financial instrument. They anticipate a considerable increase in Bitcoin's price.

Some believe that the U.S. regulator will grant approval to all applicants to avoid giving one company an unfair advantage.

BlackRock's Managing Director, Stephen Schonfeld, suggests the SEC may register the first spot Bitcoin ETF within three to six months. However, QCP Capital's specialists doubt the regulator's readiness to approve new financial instruments by year-end.

Why Is the Spot Bitcoin ETF Essential?

Galaxy experts highlight the main advantages of a spot exchange-traded fund based on digital gold, contrasting it with existing options such as ETPs and closed-end funds:

1. Enhanced efficiency due to reduced fees, greater liquidity, and better price tracking.

2. Convenience with broader access channels and platforms.

3. Compliance with regulatory requirements, potentially reducing volatility.

In the experts' view, a spot Bitcoin ETF could expedite the asset's popularization:

1. Expanding access to individuals across all wealth categories.

2. Official recognition by regulators and significant players in the financial services industry.