Highlights:
- Buoyed by speculation of an Ethereum ETF approval, Bitcoin experienced a significant price recovery, rising above $70k.
- Strike CEO Jack Mallers predicts a potential Bitcoin price surge of up to $1 million due to ongoing US economic policies.
- US Bitcoin ETFs, notably BlackRock’s IBIT, have seen significant inflows, signaling strong institutional interest and market confidence.
Bitcoin recently rebounded above the $70k threshold, spurred by market speculation over the potential approval of an Ethereum spot exchange-traded fund (ETF). Although this momentum didn’t elevate BTC to new all-time highs, it marked a significant recovery, with prices soaring past $70k for the first time in a month.
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As of press time, Bitcoin is trading at $69,189, up by over $2$ in the past 24 hours following the broad market uptick. BTC has been trading on a bullish note today despite a stiff rejection at the $69,500 mark. The market cap has surged to the $1.36 trillion mark despite a significant drop in trading volume, declining by almost 50% to $23 billion.
Bitcoin’s Potential $1M Surge, Says Strike CEO
Jack Mallers, the CEO of the Bitcoin wallet and payment platform Strike, has made a daring prediction about Bitcoin’s future price trajectory. In a recent interview, Mallers suggested that the world’s leading cryptocurrency could experience a remarkable price increase. He predicts a surge between 260% and 1,357% within the next 10 to 18 months.
According to Mallers, the United States’ current economic strategies, particularly its record-high national debt of $34.577 trillion, will play a key role in Bitcoin’s ascent. He argues that the government will likely resort to extensive money printing to manage this debt, leading to significant currency debasement.
Mallers explains that this currency devaluation is expected to trigger a surge in asset prices, with Bitcoin, as the premier digital asset, poised to benefit tremendously. “Considering the economic turmoil, Bitcoin, historically the best-performing asset, is undervalued at current prices,” Mallers stated. His confidence in these projections stems from the ongoing fiscal policies and the inherent characteristics of Bitcoin, which he describes as the most stable asset in human history.
Furthermore, Mallers emphasized the importance of focusing on the overall volume of capital in the market rather than just the cost of capital. With ongoing dollar printing despite high interest rates, he predicts that inflation will continue to bolster Bitcoin’s value.
Bitcoin ETFs See Major Inflows, BlackRock Nears Lead
In recent weeks, US Bitcoin ETFs have witnessed substantial capital inflows, reflecting a renewed interest from institutional investors. The latest data shows that BlackRock’s Bitcoin ETF, IBIT, along with others, garnered $251 million in net inflows on Friday alone, underscoring a vigorous recovery in market sentiment.
May 24 Update:
9 ETFs added 1,228 $BTC(+$83.4M).#Blackrock added 1,321 $BTC(+$89.7M) and currently holds 284,526 $BTC($19.32B).#Grayscale decreased 243 $BTC(-$16.5M) and currently holds 289,257 $BTC($19.64B).https://t.co/UkXfbomoCM pic.twitter.com/aZuevdvb4z
— Lookonchain (@lookonchain) May 24, 2024
BlackRock’s IBIT is on the verge of surpassing Grayscale’s Bitcoin ETF, GBTC, in total assets under management (AUM) as the race for dominance in the ETF space heats up. With a robust accumulation of assets, the total AUM for US spot Bitcoin ETFs has now eclipsed $59 billion.
These inflows follow broader market buoyancy, bolstered by the approval of a new Ethereum spot ETF, which has sent positive ripples across the cryptocurrency landscape. Over the past fortnight, spot Bitcoin ETFs have absorbed over $2 billion, marking ten consecutive days of positive flows.
Key contributors to this uptrend include the BlackRock ETF, which saw an influx of $182 million, while Fidelity’s FBTC added $43.7083 million to its coffers. Despite no new transactions recorded for Grayscale’s GBTC on the same day, it remains a significant player in the space.
The renewed enthusiasm for Bitcoin, driven by potential economic policies and institutional interest, notably through substantial ETF inflows, positions the cryptocurrency for potential unprecedented gains. Jack Mallers’ bold prediction of a $1M BTC surge underscores the cryptocurrency’s robust market sentiment.
Disclaimer: Cryptocurrency is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
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