Matrixport’s analysis shows that if the market capitalization of Tether (USDT) increases by $24 billion, which serves as a proxy for potential ETF inflows, the price of Bitcoin could rise to $42,000, which is a conservative estimate. represents.
recently report Crypto financial services platform Matrixport suggests BlackRock’s approval of Bitcoin exchange traded fund (ETF) could boost price Bitcoin (BTC) to range from $42,000 to $56,000.
Impact of BlackRock’s ETF Approval on BTC Price
These estimates are not the result of mere speculation. Historically, approval of traditional ETFs has often coincided with increased investor interest and significant price appreciation for the underlying assets. The report notes that the ETF would provide an easier and more regulated entry point for institutional investors, allowing capital to flow into the Bitcoin market.
A key indicator of the crypto market’s resurgence is the performance of Grayscale Investments’ Bitcoin Trust, GBTC. As of the report’s publication, GBTC’s share price has increased by a remarkable 167% year-to-date, which is significantly better than Bitcoin’s 71% increase during the same period. This impressive performance suggests growing institutional interest in the crypto sector.
While GBTC’s performance was already remarkable, the real game-changer came when blackrock inc (NYSE:BLK) announced Its ETF application in June. This announcement created a stir in the crypto market and has the potential to further change the landscape.
Analysis from Matrixport shows that if the market capitalization of Tether (USDT) increases by $24 billion, which serves as a proxy for potential ETF inflows, the price of Bitcoin could rise to $42,000, which is a conservative estimate. represents.
However, if a much larger inflow of $50 billion occurs due to a 1% allocation recommendation by RIAs, Bitcoin could potentially rise to $56,000. These projections are based on the assumption that a Bitcoin ETF will attract significant institutional interest and investment, which will, in turn, boost the overall market capitalization and price of Bitcoin.
RIA and the possibility of mass flow
Previous reports from Matrixport had already analyzed the 15,000-strong US registered investor advisor (RIA) community, which oversees approximately $5 trillion of assets. This community has immense potential to influence investment decisions and asset allocation strategies. The report estimates that even a modest 1% allocation recommendation to Bitcoin by RIAs could lead to an inflow of about $50 billion into the crypto market.
Drawing a parallel with precious metals ETFs, which have a market capitalization of approximately $120 billion, and assuming that 10-20% of precious metals ETF investors are looking at Bitcoin ETFs to diversify their portfolios and hedge against monetary collapse and inflation. Considering this, the crypto market could potentially see substantial investment. This estimate suggests that a Bitcoin ETF could attract investments between $12-24 billion.
While the crypto community eagerly awaits the approval of the Spot Bitcoin ETF, its Chairman Gary Gensler US Securities and Exchange Commission (SEC) Recently Thrown light on In an interview he said that these applications are more than a mere formality. Instead, they are subjected to extensive review and deliberation within the SEC’s multiple divisions.

Benjamin Godfrey is a blockchain enthusiast and journalist who loves writing about real-life applications of blockchain technology and innovations to promote general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies drives his contributions to well-known blockchain media and sites.
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