Bitcoin’s recent rally to $35,000 during the Asian trading session has brought back memories of gold’s spectacular price surge following the approval of its first ETF. The surging interest in the potential approval of a spot Bitcoin ETF has analysts drawing parallels with the historic rise of gold prices post-ETF launch.
The anticipation surrounding the possibility of a spot ETF approval has contributed significantly to Bitcoin’s recent price hike, marking an 18-month high. Much like the SPDR Gold Shares ETF back in 2004, a spot BTC ETF could potentially open doors for a new wave of institutional investment, facilitating exposure to the asset without the need for direct ownership.
Analyzing the trajectory of gold, experts noted the eight-year bullish run that followed the ETF listing, propelling gold prices over 300% from around $430/oz to a staggering $1,800/oz by 2011. Drawing comparisons, market enthusiasts are now speculating that if Bitcoin were to follow a similar path, it could potentially surpass $120,000 over the next few years.
Despite its current market volatility and a price that remains 50% below its peak, Bitcoin’s recent climb has invigorated analysts to predict a breakout close to $50,000 before the anticipated halving. Optimistic forecasts extend even further, envisioning a new all-time high by 2024, with sustained gains continuing into 2025.
While the crypto market had weathered what seemed like an extended period of dormancy, the recent surge in Bitcoin has reignited optimism among the cryptocurrency community. As the cryptocurrency world waits with bated breath for the potential ETF breakthrough, the broader market is witnessing a renewed bullish sentiment that hasn’t been felt in quite some time.