According to CoinDesk, analysts predict that bitcoin exchange traded funds (ETFs) may see over $1 billion in inflows within the next three months, and potentially more than $100 billion by the end of the year, as the market awaits a decision from the U.S. Securities and Exchange Commission (SEC) on spot ETF filings. Standard Chartered Bank, which also predicts that bitcoin will rise to $100,000 by year end, expects significant inflows into the funds if the SEC grants approval. The bank estimates that there will be inflows of $50 billion to $100 billion this year if asset managers who have applied to issue spot bitcoin ETFs are successful.
Between 437,000 and 1.32 million new bitcoins could be held in U.S. ETFs by the end of 2024, and if the inflows materialize as expected, bitcoin could rise to levels closer to $200,000 by the end of 2025, according to Standard Chartered. The bank compared the potential bitcoin ETF to the first U.S.-based gold exchange traded product, which launched in November 2004 and saw the price of gold rise over 4x in the seven years it took for gold ETP holdings to mature. Bitcoin gained around 155% over the last year and is up 6% since the start of 2024, according to data from Messari. Standard Chartered believes that following an approval, bitcoin could witness similar gains to what gold did, but over a shorter time period (one to two-years).
