Matrixport Predicts Bitcoin Surge to $56,000 if SEC Greenlights Blackrock’s Bitcoin ETF

CRYPTO_NEWS BTC MARKET_WATCH Crypto

The cryptocurrency financial services platform Matrixport predicts that bitcoin prices could surge to between $42,000 and $56,000 per unit if the U.S. Securities and Exchange Commission (SEC) approves Blackrock’s spot bitcoin exchange-traded fund. 

 

Matrixport Links ETF Inflows to Possible Bitcoin Price Rise In an investor note published on Thursday, the crypto firm Matrixport said the approval of Blackrock’s spot bitcoin ETF could potentially bring between $24 billion and $50 billion of inflows into bitcoin. 

 

This is based on the assumption that between 10% to 20% of investors in precious metals ETFs, which have about $120 billion in assets, may allocate 1% of their portfolios to a bitcoin ETF. “If tether’s market cap increases by $24 billion, acting as a proxy for potential ETF inflows, bitcoin’s price would rise to $42,000, representing a conservative estimate,” Matrixport said. 

 

“With a larger influx of $50 billion (1% allocation from RIAs), bitcoin could potentially rally to $56,000.” The prediction comes after a recent fake rumor that the SEC had approved Blackrock’s spot bitcoin ETF application briefly sent prices up by $2,000, before falling back by $1,000 to $1,200 when it was revealed as false news. 

 

Matrixport believes macroeconomic conditions this year are more favorable for crypto, predicting in December “a substantial crypto rally” driven by lower U.S. inflation. Matrixport’s investor note said Grayscale’s Bitcoin Trust has already significantly outperformed bitcoin itself so far in 2023. 

 

“At the year’s outset, GBTC’s net-asset-value (NAV) discount was -45%, slightly narrowing to -43%,” Matrixport disclosed. “However, the game-changer came when Blackrock announced its ETF application on June 15, 2023.” The crypto firm said there are around 15,000 registered investment advisors in the U.S. overseeing $5 trillion in assets that could potentially recommend slight bitcoin allocations. 

 

Even a 1% bitcoin allocation would bring $50 billion into the space. “This group holds immense potential, and even a modest 1% allocation recommendation for bitcoin would usher in around $50 billion in inflows,” Matrixport said. In July, the company also said that BTC prices could reach $125,000 per unit by the end of 2024. 

 

“If history is any guide, then, there is now a 100% probability that by the end of 2024, bitcoin will experience another massive bull market with a price target of $125,000,” the digital currency company stated at the time. Matrixport anticipates robust recoveries for both bitcoin (BTC) and ethereum (ETH), predicting that their volatility will significantly diminish. Blackrock amended its ETF filing on October 18, 2023, with the SEC. 

 

Source : Bitcoin News by Jamie Redman / October 19, 2023

rayn.finance logo

Automata FRANCE SAS

240 rue Evariste Galois,

06410 Biot,

Sophia Antipolis

Automata Pay

65-66 Warwick House 4th

Floor, Queen Street, London

England, EC4R 1EB

Automata Pay Europe Ltd

3rd Floor Ormond Building,

31-36 Ormond Quay Upper,

Dublin 7, D07 Ee37

Automata ICO Ltd

Italian Branch

Via Archimede, 161,

00197 Roma

Italy

The purchase of digital assets is subject to a high market risk and price volatility. Changes in value can be significant and occur rapidly and without warning. Past performance is not a reliable indicator of future performance. The value of an investment and returns can fluctuate both up and down, and you may not recover the amount you invested. RISK WARNING

Automata ICO Limited has a branch in Italy with its registered office at Via Archimede, 161, Roma, Italy, and registered in Italy under number 96550860587 with the Organismo Agenti e Mediatori (OAM) as a Virtual Asset Service Provider (VASP).

Automata France SAS is a company registered in France with the company number 902 498 617. Automata FRANCE SAS is registered with the french Financial Market Authority, l’Autorité des marchés financiers (“AMF”), as a provider of Virtual Asset Service Provider under number E2023-087.

Automata Pay Europe Limited is a partner of Modulr Finance B.V., a company registered in the Netherlands with company number 81852401, which is authorised and regulated by the Dutch Central Bank (DNB) as an Electronic Money Institution (Firm Reference Number: R182870) for the issuance of electronic money and payment services. Your account and related payment services are provided by Modulr Finance B.V. Your funds will be held in one or more segregated accounts and safeguarded in line with the Financial Supervision Act.