Like most goods, Bitcoin’s price comes down to supply and demand.
Unlike most goods, Bitcoin’s supply is fixed.
So when Bitcoin becomes available to new groups of investors, the new demand is met with the fixed supply, and the price shoots up.
This week, a lot of new demand is coming to Bitcoin.
First, ProShares will launch the first U.S. Bitcoin-Linked ETF on October 19. Any investor, or investment advisor, can now buy the ticker BITO on the NYSE to get some exposure to Bitcoin.
It is worth noting that this ETF is technically a “futures” ETF, so instead of trading the asset directly, you place buy and sell orders at specific prices or times. The futures ETF doesn’t track the asset directly. Many diehard bitcoiners are upset that this is the first ETF to get approval since Bitcoin is designed to be a long-term savings technology.
Second, Interactive Brokers (IBKR) — one of the largest U.S. brokerage firms — gives financial advisors the ability to buy and manage Bitcoin for their clients through their all-in-one trading platform. According to IBKR, they custody over $350 billion in assets and serve over 1.54 million clients.
BREAKING: Interactive Brokers just announced they will empower Registered Investment Advisors across the United States to invest in bitcoin and cryptocurrencies. This means hundreds of billions of dollars can now enter the market more easily.
October 18th 2021
Third, Grayscale Bitcoin Trust has announced they are converting their $38 billion Bitcoin trust to a spot ETF, which will allow investors to trade shares much closer to the price of Bitcoin than before.
Unlike the ProShares futures ETF, the spot ETF basically trades the asset much closer to the current price. This is the ETF we really want.
More ETFs and funds are around the corner. These next months are going to be huge for Bitcoin investors.
Time in the market is always more profitable than timing the market. Today is a great day to buy and hold some bitcoin.