2024-04-11 17:53:27 ET
Summary
- Bitcoin ETFs have been approved and there has been activity from these funds, but it does not necessarily indicate Wall Street's bullishness on BTC.
- The net inflows into ETFs may not be a true reflection of Wall Street's sentiment as some of it may be due to traders needing a marginable long BTC position while shorting other assets.
- Other factors, such as pairs trades and basis trades, may also contribute to the inflows, suggesting that not all of the BTC bought is a result of bullish investors.
- This doesn't really impact the long run tailwinds for Bitcoin.
This is a short article which takes a careful look at the mainstream narrative that Bitcoin ETFs signal institutional adoption, and that Wall Street is increasingly bullish on Bitcoin ( BTC-USD ). It's been three months since the spot ETFs were approved, and we’ve seen a good amount of activity from these funds. BlackRock’s iShares Bitcoin Trust ETF ( IBIT ) has been called the most successful ETF launch in history by Larry Fink. There were prominent headlines when IBIT surpassed MicroStrategy ( MSTR ) in the amount of BTC held....
Read the full article on Seeking Alpha
For further details see:
Bitcoin Reality Check: Wall Street Doesn't Seem Bullish Despite ETFs