Market analyst and president of the ETF Store Nate Geraci has backed the US-based spot Bitcoin ETFs to overtake the Gold ETFs in terms of cumulative net flows. This projection comes amid a dazzling performance by these Bitcoin ETFs in recent days, attracting more than $2 billion in weekly net flows.
Find out if Bitcoin ETFs will surpass the gold ETF within two years, says analyst
The spot Bitcoin ETFs roiled global financial markets this week, recording net inflows of $2.13 billion, according to figures. data from SoSoValue. This massive influx of investments occurred as Bitcoin surged 9.23% and approached a critical resistance zone at the $70,000 price point.
In the midst of this market euphoria, Nate Geraci has predicted the spot Bitcoin ETFs will post higher cumulative total net flows over the next two years than the Gold ETFs. This prediction is largely unsurprising given the exponential growth of these Bitcoin ETFs since their launch on January 11.
For context, the Gold ETFs currently boast combined net inflows of approximately $55 billion, compared to total net inflows of $20.66 billion in the spot market for Bitcoin ETFs. However, the Bitcoin ETFs have only been trading for barely a year, compared to the Gold ETFs that have been around for over 20 years.
Also Bloomberg analyst Eric Balchunas recently highlighted There, Bitcoin ETFs have amassed a total of over $65 billion in net assets, a milestone that took the Gold ETFs almost five years to reach. This figure is also more than 25% of the total assets under management in the global gold ETF market.
Furthermore, Geraci’s theory is further strengthened by the few 11 spot Bitcoin ETFs currently trading, compared to the nearly 5,000 gold ETFs in the global financial market. Therefore, these Bitcoin ETFs could actually be poised to overtake their gold counterparts, especially given the upcoming bull run in the crypto market and current digital asset adoption levels.
Bitcoin Poised for Price Recorrection Amid Market Surge
In other news: crypto analyst Ali Martinez has shared that Bitcoin may soon experience a “short-term dip” after the recent price surge. As mentioned earlier, the crypto market leader gained over 8%, from around $63,000 to almost $69,000.
Although the BTC market is currently bullish, Martinez states that the TD sequential is currently indicating a sell signal on the 4-hour chart, which is being reinforced by a bearish divergence on the Relative Strength Index (RSI). If the price of Bitcoin were to fall, investors would turn their attention to the $60,000 price zone, where the next support level lies. Although strong selling pressure could leave the leading cryptocurrency worth just $55,000.
At the time of writing, Bitcoin continues to trade at $68,428 with a gain of 0.98% on the last day.
