Bitwise CIO Matt Hougan says Bitcoin price could turn a new leaf in the coming days – here's why
Bitcoin (BTC) could be about to enter a new round of price action, according to Matt Hougan, chief investment officer at crypto index fund manager Bitwise.
Hougan says he is paying attention to a few metrics related to Bitcoin options and the newly approved spot BTC exchange-traded funds (ETFs).
He is particularly interested in looking at net inflows into newly approved funds compared to Grayscale's Bitcoin Trust (GBTC).
“Things I look at:
- Net Flows into ETFs (New ETFs vs. GBTC)
- Annualized basis on Binance
- BTC options are distorting
Friday’s big options and futures expiration could be the capstone of this round of price action as people withdraw their pre-ETF bets.”
Bitcoin is trading at $39,698 at the time of writing. The highest-valued crypto asset by market capitalization has fallen nearly 7% in the past week.
Hougan goes on to say that BTC’s recent losses are not the result of an ETF-induced sell-off.
“The ETFs are net buyers of Bitcoin (including GBTC).
This is a sell-off triggered by ETF expectations. The market pioneered ETF approval by focusing on both spot Bitcoin and Bitcoin derivatives. They expected larger net inflows into ETFs than before and are now canceling this bet.
[In my opinion,] Just as the market has overestimated the short-term impact of ETFs, it is also underestimating the long-term impact.”
Hougan clarifies that GBTC is a net seller, but the new ETFs are overall net buyers.
Don't miss a thing – Subscribe to receive email alerts straight to your inbox
Check price action
Follow us on Twitter, Facebook and Telegram
Surf the Daily Hodl Mix
Check out the latest headlines
 
Disclaimer: Opinions expressed on The Daily Hodl do not constitute investment advice. Investors should conduct their due diligence before making any risky investments in Bitcoin, cryptocurrencies or digital assets. Please note that your transfers and transactions are at your own risk and any losses you incur are your responsibility. The Daily Hodl does not recommend the purchase or sale of cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl is involved in affiliate marketing.
Generated image: Midjourney
Learn Crypto Trading, Yield Farms, Income strategies and more at CrytoAnswers
https://nov.link/cryptoanswers
Comments are closed.