THIS Cryptocurrency ETF could soar up to 5,400%, claim some Wall Street analysts. Here's what you should know

Even though the market of cryptocurrency and blockchain is sometimes deemed unstable, the benefits reaped from here could help someone trading in the crypto fund in the longer run. Such is the case with a certain Cryptocurrency exchange-traded fund (ETF) that is being swallowed up rapidly by top industry leaders and their business chains, in the hope and expectation that it will multiply its value a few thousand times in a certain period.

New Bitcoin ETF can boost investments

Certain Wall Street analysts think that iShares Bitcoin Trust (NASDAQ: IBIT) could grow 1,050% - 5,400% based on the promising trends it has been reflecting over a short period. It has already achieved a chunk of billionaire investors who have bought up a majority of the shares being offered around this ETF.

After the Securities and Exchange Commission (SEC) approved 11 spot Bitcoin ETFs in January, many hedge fund managers consolidated their positions by purchasing a large chunk of shares in the recently- approved iShares Bitcoin Trust. The purchasers include the likes of Steven Schonfeld of Schonfeld Strategic Advisors, Ken Griffin of Citadel Advisors, Israel Englander of Millennium Management, and Paul Singer at Elliot Investment Management, who ended up buying a majority of the shares.

Bitcoin ETFs are a good sign for cryptocurrency

Spot Bitcoin ETFs can be a good sign for cryptocurrency's future. The entire concept of Bitcoin is around supply and demand but the case for Bitcoin ETFs is a little different: It will offer investors a shot at Bitcoin minus the friction of the Bitcoin volatility. This will help in capturing the interest of retail and institutional investors, which will simply increase the demand and the price will only go higher.

However, buying Bitcoin ETFs in haste is certainly not advisable, whether you are a retail or institutional investor as the future of cryptocurrency is always a murky path.

FAQs:

Is Bitcoin safe to invest?
Bitcoin is a cryptocurrency that can be traded on the crypto market but since the prices and future of Bitcoin and similar other cryptocurrencies stand volatile, one must always keep caution.

What are some examples of cryptocurrencies other than Bitcoin?
Some of the popular cryptocurrencies in the market include Ethereum, Dogecoin, ADA, USD Coin, Solana, Binance Coin, XRP, Shiba Inu Coin, Polkadot and many more.