✨ Why does the price of BTC fall after the approval of ETFs? ✨
A few days ago, about $4 billion came into the market from ETFs. It was estimated that in the first quarter it could come around $30 billion. For Americans, it's billions. As headlines on portals with journalistic tricks extremely bombastic everything sounds and creates a great FOMO effect, especially in our region where these are really more than huge sums.
In the real market, in accordance with the volume of btc trading, the inflow of new capital on the first day of trading ETFs was equal to the volume of trade smaller than one 30min candle, i.e. the trade volume in 30 minutes, i.e. the price shift of 0.46%.
In other words, even if this influx continued uniformly and did not, on the second day it declined quite a bit, it could not significantly affect the price shifts due to the working hours of the U.S. stock exchanges. This means that even with this money does not have much influence on the price movement of BTC because it is available 24/7.
So, the estimated inflow of 90 days had to be divided into daily, throwout Saturdays and Sundays and look at how much money comes on a daily basis and how much effect can be expected.
In the long run, the ETF will have a very significant impact, it brings stability in the long run, but it is still a much smaller influx of money than many imagined. Funds and institutions have an investment plan for 20 years or more in advance, they are not as impatient as many expected, they will not just lightly invest money on stock exchanges, especially not crypto exchanges that are not regulated.
$BTC
