Bitcoin Spot ETF Prediction by Standard Chartered Bank

The US Securities and Exchange Commission is expected to soon approve spot-type Bitcoin Exchange-Traded Funds (ETFs). Standard Chartered Bank estimates that this step could attract funds of up to $50-100 billion this year.

Bitcoin Growth Potential Through ETFs

The impact of ETFs on Bitcoin growth is believed to be comparable to that of Gold ETFs, which have provided investors with broader access to the gold market. This refers to SPDR Gold Shares (GLD), the world's largest gold ETF which was launched in 2004.

Standard Chartered Bank stated that when GLD was introduced, the total value of gold available was around 2.2 trillion US dollars. Meanwhile, Bitcoin's current market cap is $0.86 trillion. Based on this comparison, it is estimated that a Bitcoin ETF could drain around $34 billion.

Standard Chartered Bank also estimates that on the higher side, fund flows could reach 130 billion US dollars. They consider the projected cash flow of around 50-100 billion US dollars in 2024 to be a reasonable estimate.

Some Bitcoin ETF applicants are also expecting significant cash flows into the market. VanEck estimates cash flow of US$1 billion in the first few days and US$2.4 billion in the quarter. Galaxy predicts $14 billion in the first year, while Bitwise sees market potential of around $72 billion in five years.

Bitcoin Price Could Touch 200 Thousand US Dollars 

Standard Chartered Bank considers the approval of a spot Bitcoin ETF as an important moment that could increase Bitcoin participation among institutional investors. They also predict a surge in Bitcoin prices of up to 200,000 US dollars by the end of 2025.

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