Market analyst and ETF Store President Nate Geraci backed the US spot Bitcoins ETF to surpass Gold ETFs in terms of net flows. This speculation comes amid the incredible performance of these Bitcoin ETFs over the past few days where they have attracted more than $2 billion in weekly netflows.
Spot Bitcoin ETFs To Outperform Gold ETFs In 2 Years, Analyst Says
Bitcoin ETFs have rocked global financial markets this week recording a total inflow of $2.13 billion according to data from SoSoValue. This massive influx of investment occurred as Bitcoin rose 9.23%, approaching the critical resistance level of $70,000.
Amidst this market euphoria, Nate Geraci predicted a place where Bitcoin ETFs will record higher net flows than Gold ETFs in the next two years. This prediction is not too surprising considering the strong growth of these Bitcoin ETFs since their launch on January 11.
For context, Gold ETFs currently boast a net inflow of approximately $55 billion compared to a total of $20.66 billion in the Bitcoin ETFs market. However, Bitcoin ETFs have been trading for about a year compared to Gold ETFs which have been around for over 20 years.
In addition, Bloomberg analyst Eric Balchunas recently highlighted that Bitcoin ETFs have accumulated more than 65 billion in total assets, a milestone that took Gold ETFs almost five years to achieve. This figure is also more than 25% of the total assets under management in the global Gold ETF market.
In addition, Geraci’s theory is further strengthened by the fact that the 11 Bitcoin ETFs are now trading compared to the nearly 5000 gold ETFs in the global financial market. Therefore, these Bitcoin ETFs may be poised to outperform their Gold counterparts, especially considering the upcoming crypto market bull run and the current adoption rates of digital assets.
Bitcoin Sets Price Correction Amid Market Surge
In other news, crypto analyst Ali Martinez shared that Bitcoin may experience a “temporary decline” after its recent price rally. As mentioned before, the leader of the crypto market gained more than 8% from around $63,000 to almost break above $69,000.
Although the BTC market is currently bullish, Martinez says that the TD sequence is currently showing a sell signal on the 4-hour chart reinforced by a bearish divergence in the Relative Strength Index (RSI). If the price of Bitcoin were to fall, investors would turn their attention to the $60,000 price area where it is the next level of support. Even strong selling pressure could cause the first cryptocurrency to trade as low as $55,000.
At the time of writing, Bitcoin continues to trade at $68,428 with a gain of 0.98% in the last day.
