Many analysts share the theory and price prediction for Bitcoin’s long-term six-figure evaluation eventually. There are many traders and market strategists who agree that Bitcoin is on the path to get to the $100,000 price point. According to most Bitcoin maximalists, the flagship cryptocurrency will reach this massive price point before the end of 2021.
Scott Melker is another cryptocurrency influencer and enthusiast who holds the same views. He was speaking to Kitco News recently when he remarked that Bitcoin would soon be able to surpass the gold market and have a larger market cap. He further added that once the SEC moves to declare Bitcoin ETF in the United States, it will give the flagship cryptocurrency a massive price movement boost.
Bitcoin ETF Approval will Boost Crypto Adoption
The traditional and digital investors in the USA cannot wait to find the option of getting exposure to cryptocurrency with the help of a Bitcoin ETF. In this manner, the investors would not have to engage in sell or purchase of Bitcoin directly, and they can gain exposure into the market with Bitcoin derivatives like futures contracts. Melker also commented on the importance of a BTC ETF.
He claimed that with the introduction of Bitcoin pegged ETF, many new independent wealth funds and endowment schemes will surface. If these huge investment vehicles decided to put only 1-2 percent of their capital investment in cryptocurrency, it means major funds flowing into the Bitcoin market. Melker also added that without the presence of an exchange trading product, it is not possible to invite these massive investment sources into the crypto industry.
A deflationary asset is the type of trade commodity that helps in decreasing the prices of the relevant products. According to Melker, Bitcoin is a great deflationary asset class. He further added that in comparison to the Gold market, Bitcoin is a better and more efficient store of value in every aspect. He further added that the halving event is also a great feature.
Bitcoin supply is cut down by half every four years. This adds great value to the flagship cryptocurrency. Following the basic demand and supply rules, it means that as the demand for Bitcoin keeps rising, the supply is shortened, which results in a massive price rally for Bitcoin. Melker pointed out that last year, every BTC unit was valued in hundreds, i.e., $3800, and this year the highest price mark for Bitcoin is $65,800.
