Bitcoin is not going to grow
Bitcoin-ETF was approved, but bitcoin is not going to grow. Moreover, on Wednesday it fell significantly. What is going on? We expected that a new era of cryptocurrencies has arrived, which we awaited so long. Do you remember what predictions our crypto-prophets made? Bitcoin for $100К!
BlackRock had raised about $400M in its fund by Wednesday. It’s good results in a few days, however, this is a completely insignificant amount by market standards.
There is a serious danger that traders will become noticeably disappointed, and this disappointment will cause a collapse. Not to say that the probability of such a development is high, but it is quite real.
I have said this many times, and I will repeat it again - the main problem is the lack of a clear image of the future. What will Bitcoin be? Will he stay or will he never find a promising niche?
We are trapped in the illusion that Bitcoin is an unshakeable asset. Friends, Bitcoin now exists in a separate economic space and does not have any contact with the real economy. ETF is an attempt to attach Bitcoin to something real. The attempt is not very successful, because ETF itself does not create utility either. The utility will be when Bitcoin is, for example, officially used - at least in a large project.
So, for now, unfortunately, we have a speculative asset.
Until the attitude of states to cryptocurrencies changes, the situation will not fundamentally change.
However, Bitcoin market growth is not excluded, moreover, its probability is high. The market is now fairly poorly capitalized and manipulated. A large investor may well affect the exchange rate, and now the giants of the first size are in play. However, such growth will not be stable - the mood of investors may change or the state will make an unfavorable decision. Bitcoin is supported and growing on information interventions, and it can fall on them.
So, let’s not focus on Bitcoin, just do our business.
