Was Bitcoin ETF really a good thing for growth of crypto and Bitcoin prices?

[krishnaverma]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

I researched more about it and came to know about this new point of view regarding this Bitcoin ETF. According to this point of view, Bitcoin  ETF has made Bitcoin mainstream. It has become something like regulated and as a result the premium effect is gone. Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

Here is a link discussing the same thing
https://www.moneycontrol.com/news/business/wire-news/crypto-is-going-mainstream-which-means-its-over-12135721.html/amp

[_act_]

As the marketcap of an asset is getting higher, the lower will be the asset's price volatility. Bitcoin was having a marketcap of almost or over $900 billion before its spot ETF was approved by the United States. I am saying without the ETF, the price of bitcoin was not volatile like that of altcoins, but that does not mean it will not get above $100000 to $150000. Still see bitcoin as a volatile asset but less volatile.

[348Judah]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

You should know that everything has it's own advantage and disadvantages as the case may applies,, seing what is really behind the factors that boost the bitcoin market price to go bull is to be considered here where I know quite alright that bitcoin ETF is not one, but here in this regard may partially act as a catalyst in helping have a short experience of price change due to the event of the breaking news and this may be to rise or fall of the market price just as we have experienced now.

I researched more about it and came to know about this new point of view regarding this Bitcoin ETF. According to this point of view, Bitcoin  ETF has made Bitcoin mainstream. It has become something like regulated and as a result the premium effect is gone. Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

ETF is not what is making bitcoin becoming a mainstream, Bitcoin has already been fighting it's way through before that comes in, may e we should focus on halving which will eventually have to deal with high volatility during this period.

[Ambatman]

I don't even know where to start.
Been regulated doesn't equal control
ETF is just like CEX with a little flavour
Bitcoin is volatile compare to USD?
Go check the amount of dollar in circulation and compare to Bitcoins.
Nothing with an advantage that doesn't have a disadvantage
But in this case the disadvantage is not catastrophic
If the government can control more than 51% of the blockchain
Then I can be scared.
Gold is legally backed and regulated
Does that stop the price from increasing?


About Bitcoin not having volatility again
I believe it can't experience the growth of its early days in a short span
But that doesn't rule out the fact that it's still way undervalued.
With its limited supply is ever going to continue rising
Inflation still exists.

Not all things mentioned by this so called experienced investors holds weight.

[criptoevangelista]

Bitcoin is already popular and well-known, but ETFs can bring in money from new people who are afraid of how bitcoin works. The more popular and the more new money comes in, the better for us who were here before them all

[lombok]

In the long term, it is clear that ETFs have a positive impact. We can see this reflection in the case of Gold, when Gold entered and was accepted by the ETF at that time until now gold continues to rise and its market cap continues to increase, with almost the same characteristics as gold - limited supply - unique, I think Bitcoin is able to do what it does what gold does, is to keep going up. However, keep in mind, this increase will not happen quickly but will be gradual. Maybe the first impact will be that Bitcoin will become better known to many people, institutions and become the center of attention, then with its track record being written as an investment asset and safe haven, it can encourage Bitcoin to rise higher and inflate its market cap.

[Zaguru12]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

I researched more about it and came to know about this new point of view regarding this Bitcoin ETF. According to this point of view, Bitcoin  ETF has made Bitcoin mainstream. It has become something like regulated and as a result the premium effect is gone. Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

Personally I think the ETF will just increase the rate at which big investors will come into bitcoin and that increases the adoption rate which clearly is what brings higher demands which will increase the price of bitcoin but still on a significant level. Other other hand ETF to me also will affect negatively a fundamental part of bitcoin which is privacy although it wasn’t meant to be anonymous but rather pseudonymous but with the rate at which ETF approved entities will be regulated it is as if they are clearly centralized exchanges, as government can clearly get information of spot buyers from this entities.

As the marketcap of an asset is getting higher, the lower will be the asset's price volatility. Bitcoin was having a marketcap of almost or over $900 billion before its spot ETF was approved by the United States. I am saying without the ETF, the price of bitcoin was not volatile like that of altcoins, but that does not mean it will not get above $100000 to $150000. Still see bitcoin as a volatile asset but less volatile.

You are definitely right with or without ETF approval the volatility rate of bitcoin was clearly declining as this can be seen with the surge of price. If you look at all the current bitcoin new all time high predictions you will clearly notice that no one has predicted a price that will exceed $200k for the upcoming bull run not because it can’t happen but that large volatility swing is not there anymore, personally I don’t see it bitcoin doing more than 3x from the current ATH and I don’t also see a -3x fall from that price too.

[avikz]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

I researched more about it and came to know about this new point of view regarding this Bitcoin ETF. According to this point of view, Bitcoin  ETF has made Bitcoin mainstream. It has become something like regulated and as a result the premium effect is gone. Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

Here is a link discussing the same thing
https://www.moneycontrol.com/news/business/wire-news/crypto-is-going-mainstream-which-means-its-over-12135721.html/amp

Having a bitcoin ETF, does not make Bitcoin mainstream. The concern is far more deep. Now the big pocket corporates hold a suitable amount of Bitcoins which can control the market. Being mainstream is not a problem but being in a position to control the market is the problem. Blackrock is definitely evening to be in a position where they can hold a good amount of stake in the market. That's what worries me.

Bitcoins can still be used outside the regulations. But the controlling power belongs to someone else. The manipulations are not yet evident for sure, but things will uncover with time.

[Crypto Library]

Yes, Bitcoin ETF approval is a positive thing for the growth of crypto and Bitcoin prices. Because of the Bitcoin ETF approval, the number of Bitcoin and cryptocurrency adoption will increase more and faster, and as a result, the trading volume will also increase. And since adoption will spread among more people, the demand will increase and the demand will also increase the price.
Although I have no doubt about the price increase for ETF approval, we may not see it in a huge amount right now, but we can definitely see its larger effect after a while. Although I have no doubt about the price increase for ETF approval, we may not see it in a huge amount right now, but we can definitely see its larger effect after a while.

[o48o]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

I researched more about it and came to know about this new point of view regarding this Bitcoin ETF. According to this point of view, Bitcoin  ETF has made Bitcoin mainstream. It has become something like regulated and as a result the premium effect is gone. Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

Here is a link discussing the same thing
https://www.moneycontrol.com/news/business/wire-news/crypto-is-going-mainstream-which-means-its-over-12135721.html/amp

It gets more volume, but nothing is saying it should go up immediately. There are rich people shorting it and I am guessing that they must have learned something about gamestock, so they wont short it to the ground.

I personally am doubtful about the whole etf. This just makes it even more price centric and more dependable on financial institutions and regulators.

[Dr.Bitcoin_Strange]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

People can actually say different things, give wrong information about anything, even when they don't really have a proper knowledge of what they are talking about. 

The other day, someone who claimed to know too much about Bitcoin was actually talking about Bitcoin-ETFs as a tool that will drive the market to a very bullish peak. After he has said so many things, then I asked him: "Was Bitcoin developed to serve als a tool that will boost Bitcoin price, or perhaps was it developed to serve a different purpose (purpose of adoption)?, Since the BTC-ETF never got developed in the past years, has Bitcoin' price on its own never pumped?“ "

Bitcoin has been doing much better in the past years and investors have always noted it. Bitcoin EFT, which just got developed a few weeks ago, is being thought as if it has already started to pump the price of Bitcoin.

Don't get me wrong, I am not against Bitcoin EFT, but I definitely would not use it because I have been purchasing Bitcoin right from time and there is nothing wrong with the way I purchase my Bitcoin.

If the price of Bitcoin keeps appreciating, it will be a general advantage to all Bitcoin holders, because every investor needs the price growth in order to make profit, and if the approval of the ETF will also contribute to the price growth, then will it be of general advantages. 

[hatshepsut93]

I researched more about it and came to know about this new point of view regarding this Bitcoin ETF. According to this point of view, Bitcoin  ETF has made Bitcoin mainstream. It has become something like regulated and as a result the premium effect is gone. Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

ETF is just one platform out of many, and the price is the sum of all market activity across all platforms, so you can't really say that Bitcoin is now fully regulated. And I don't see why Bitcoin volatility should reduce now that we have an ETF. This effect could be really small because the volatility is caused by fundamental reasons - the purely speculative nature of Bitcoin price forming. There's no method for calculating how much should Bitcoin be worth, so all market participants are just guessing.

[OcTradism]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

Bitcoin Spot ETFs bring more big companies, institutional investors and more capital in Bitcoin market. It is good for the market in long term but in short term, there will be some opposite effects because there will be times for investors to move around companies, change products like some are moving from Grayscale to other Bitcoin Spot ETFs with cheaper service fees.

It will cause selling pressure in short term but after all, who want to leave Grayscale will leave, who want to stay will stay and selling pressure will no longer be as big as it is now. Other Bitcoin Spot ETFs will attract more investors and capital to buy bitcoin. They will also submit applications for derivatives products and more.

In long run, I am very positive with effects from Bitcoin Spot ETFs on Bitcoin price.

[Smack That Ace]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

I researched more about it and came to know about this new point of view regarding this Bitcoin ETF. According to this point of view, Bitcoin  ETF has made Bitcoin mainstream. It has become something like regulated and as a result the premium effect is gone. Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

Here is a link discussing the same thing
https://www.moneycontrol.com/news/business/wire-news/crypto-is-going-mainstream-which-means-its-over-12135721.html/amp

Are you expecting bitcoin to increase thousands of percent and bring you big profits these days? If that's what you want to ask, then I can say that it won't happen anymore because bitcoin is getting bigger and with its large capitalization it can't grow as much as other shitcoins. Bitcoin's profit will only be x2, x5 or x10 if you hold it long enough, but if you expect x100, x1000 then that will only happen with shitcoin. But in return, bitcoin will be safer while altcoin will be riskier.

ETFs will make bitcoin more centralized but it will help bitcoin become more popular faster, and once demand increases, prices will increase, but everything takes time.

[legiteum]

My own theory is that this will be bad for Bitcoin in the long run since the "mythos" behind Bitcoin ("decentralized", etc.) is utterly mocked by the ETF, and thus mainstream investors will ignore it, and look at Bitcoin and cryptos as pure meme investments and nothing else.

In other words, buying Bitcoin will be not too different that buying stock in GameStop: you buy it because you think others are going to be buying it, which will make the price go up.

If Bitcoin isn't a "revolution" and is instead just a meme, then it will play equally along side all of thousands of other meme investments, which is bound to bring the price down as it will see more competition.

Of course the ETF could increase Bitcoin's meme as well, driving the price up. So I guess we'll see.

[thecodebear]

I see a lot of threads here saying that now that Bitcoin ETFs are approved, it will boost the Bitcoin prices. However, that has not happened in last few days.

I researched more about it and came to know about this new point of view regarding this Bitcoin ETF. According to this point of view, Bitcoin  ETF has made Bitcoin mainstream. It has become something like regulated and as a result the premium effect is gone. Because of this, there will not be that much volatility in prices now and thus the returns it gave in past are now not possible. Do you agree with this point to view?

Here is a link discussing the same thing
https://www.moneycontrol.com/news/business/wire-news/crypto-is-going-mainstream-which-means-its-over-12135721.html/amp

huh??? You think that just magically volatility and growth are gone because ETFs were approved?

First of all, ETFs will increase adoption of bitcoin as an asset (obviously!) which means price goes higher. So of course this doesn't slow the returns down, it increases them.

But of course as Bitcoin continues growing volatility and its growth will naturally slow down because its market cap is growing. That's completely natural. It's been happening for a long time already.

But nothing about ETFs being approved suddenly magically makes these things happen haha. All the ETFs do is bring more people into the market, which means faster growth, as yes as a consequence of faster growth Bitcoin will more quickly reach the sort of market caps that lead to much less volatility and slower growth. But that is a consequence of Bitcoin's growth, not of ETFs, and that is a long term effect, not something that all of a sudden happens.

Finally, growth is a long term thing, it doesn't matter at all what the price has done the past two weeks. The market always moves up and down. Price moving down after ETFs means absolutely nothing. When people say ETFs will boost the price they mean it will be boosted over the months and years to come. Daily or weekly ups and downs are entirely according to the whim of the market on any given day and have nothing to do with long term adoption.

[DapanasFruit]

Some experts on ETF are saying that what happened to gold has more chance to also happen to Bitcoin. With the approval of ETF, the asset is already considered to be mainstream, regulated (maybe in indirect sense) and with that there will be less volatility which is a two-edged sword, so to speak, because we could expect Bitcoin to grow slowly from now on. So the expectation that Bitcoin would be worth a million dollar within some years may not come into reality, sad to say. Now, this is just my humble opinion, anyway.

[alastantiger]

You are definitely right with or without ETF approval the volatility rate of bitcoin was clearly declining as this can be seen with the surge of price.

I think that the ETF approval has more role to play in the declining rate of bitcoin volatility than any other factor. These large institutional investors are responsible for stabilizing the market because since they have a lot of money which they are bringing into the market, it serves as a shock-absorber that has made the overall bitcoin market to be capable of withstanding a sudden price swing. Without them, I wonder what other factor could have been able to mitigate the large market movements that causes volatility.

There's no method for calculating how much should Bitcoin be worth, so all market participants are just guessing.

I am not taking your words out of context and I definitely agree with what you have said. For our guessing is based on our individual perspectives and how much risk we can carry. However, do you think that that in the long run, if we don't have a universal and agreed upon precise method for calculating value of bitcoin would this be good for the asset. To put another way, what do you think will be the disadvantages of not having a precise method of calculating the value of bitcoin in the long run?

[adaseb]

It would of been good if they approved all the etfs except GBTC. Reason why is because when it converted to an etf, the shares were unlocked with the bitcoins and the outflows started to happen.

Since they kept their fees very high, many people left for the other etfs. But the bigger issue is companies like Ftx selling the shares they bought years ago at a deep discount. This leads to the decline in bitcoins price and will continue until people are done selling GBTC.

[tbct_mt2]

It would of been good if they approved all the etfs except GBTC. Reason why is because when it converted to an etf, the shares were unlocked with the bitcoins and the outflows started to happen.

Since they kept their fees very high, many people left for the other etfs. But the bigger issue is companies like Ftx selling the shares they bought years ago at a deep discount. This leads to the decline in bitcoins price and will continue until people are done selling GBTC.

It will need some weeks or months for investors and market to digest selling pressure from Grayscale but eventually Bitcoin market will be fine. Because capital from Black Rock, Fidelity and other ETFs are bigger than Grayscale and surely they will want to buy more bitcoin.

In addition, it is not logic if Bitcoin skyrockets after approvals of Bitcoin Spot ETF when everyone expected its soar. Market makers usually do oppositely than majority of market participants think. I bet Bitcoin will go side way for a while maybe some months and only start to grow after Bitcoin halving.

My expectation is Bitcoin will have good bull run since Q3 2024, not too soon in Q1 or Q2 2024.