Analysts from Standard Chartered, Galaxy and Corestone predict that a spot bitcoin ETF could see over $1 billion in inflows over just the first quarter.
Market makers, like trading firm DRW, have been preparing for months to be able to provide the necessary liquidity to ensure sufficient liquidity should the SEC approve bitcoin exchange-traded funds in the U.S.
Bitcoin ETFs provide traditional investors with a regulated investment vehicle that enables them to invest in Bitcoin without having to directly own the underlying cryptocurrency.
The much-awaited approval of spot-bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC) can give unprecedented momentum for similar regulatory approvals in and around Asia.
While bitcoin's price is often denominated against fiat currencies, Wood pointed out that even relative to gold, BTC has risen consistently since its early days.