Anticipation for Bitcoin Spot ETF Approval Builds
Anthony Pompliano has outlined several predictions related to the highly anticipated approval of the Bitcoin spot ETF. As the ETF approval looms, significant developments in the crypto market are expected.
ETF Approval and Trading Commencement Predicted
In his first prediction, Pompliano anticipates the approval of the Bitcoin spot ETF on a Wednesday, followed by the commencement of trading on Thursday. He stresses the importance of a quick turnaround, contrary to historical concerns about delays between approval and trading.
Predictions on Inflows and AUM Growth
The second prediction revolves around the expected inflows into the approved ETF. Pompliano suggests that the ETF could attract a substantial $2 billion in assets under management (AUM) within the first 48 hours. Looking ahead to the first 30 days post-approval, Pompliano envisions the AUM to grow to $5 billion, representing approximately 5% of the gold market.
Potential Winners and Marketing Predictions
Pompliano singles out BlackRock as a potential winner, surpassing even Grayscale in assets. He also predicts substantial marketing spending of at least $100 million within the first year by various spot ETF issuers. He highlights the restrictions on advertising the ETF directly, leading to a broad and diverse marketing approach across different channels.
Speculation on Ethereum Spot ETF and Volatility Predictions
As interest in the Bitcoin spot ETF intensifies, Pompliano expects speculation around an Ethereum spot ETF to grow, especially towards the end of the first quarter. Addressing Bitcoin’s volatility, Pompliano suggests that over the next three years, Bitcoin’s volatility will significantly decrease. In his final prediction, Pompliano forecasts a reduction in Bitcoin’s compound annual growth rate (CAGR) to 20% within the next five years.
Hot Take
The highly-anticipated approval of the Bitcoin spot ETF is expected to bring significant changes and developments to the crypto market, including substantial inflows, potential winners, and projections for the future of Bitcoin’s volatility and growth rate.
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