Crypto Analyst: Bitcoin Could Hit $1 Million in Days to Weeks After Spot ETF Approval
Bitcoin (BTC) has the potential to skyrocket to $1 million within a matter of days to weeks following the approval of a spot Bitcoin exchange-traded fund (ETF).
According to Samson Mow, CEO of Jan3, the combination of limited Bitcoin supply on exchanges and a surge of institutional investment will drive the price to unprecedented levels in a remarkably short period of time.
“You’re hitting a very limited supply of Bitcoin on the exchanges and available for purchase with a torrent of money,” he said in a recent interview.
“This is why you can go really high all at one time.”
Mow highlighted the inflow of institutional capital that is expected to accompany the approval of a spot ETF, stating that there will be a torrent of money seeking to purchase the limited available Bitcoin on exchanges.
The surge in demand, coupled with the scarcity of supply, could result in a rapid and substantial price increase.
Comparing this expected rally to predictions made by entrepreneur Balaji Srinivasan, Mow asserts that the impact of a spot Bitcoin ETF approval on prices will unfold much faster than the effects of central bank money printing.
While money printing slowly permeates the economy over the years, the approval of a spot ETF could cause a sudden and explosive surge in Bitcoin’s value.
Mow anticipates that the rally to $1 million will occur at an unprecedented pace compared to previous Bitcoin bull runs.
The 2017 rally, for instance, took nine months to achieve a 20-fold increase in value.
However, with the influx of billions of dollars through ETF approvals, Mow expects the timeframe for reaching $1 million to be significantly shorter.
Major ETF Issuers Met with SEC
As reported, four prominent Bitcoin exchange-traded fund (ETF) issuers have engaged in meetings with the SEC over the past few days.
According to Bloomberg ETF analyst James Seyffart, these issuers have been actively discussing their Bitcoin-related filings with the SEC, bringing increased hope for the approval of spot Bitcoin ETFs soon.
Among the companies involved, BlackRock stands out as it met with federal regulators for the third time in as many weeks on December 12.
Grayscale, Franklin, and Fidelity also had meetings with the SEC last week, indicating the growing interest and efforts surrounding Bitcoin ETF applications.
BlackRock recently made amendments to its spot Bitcoin ETF application, aiming to facilitate participation from large banks.
The updated application introduced new shares in the fund that can be purchased with cash, expanding the options beyond solely using cryptocurrencies.
The SEC is expected to make a decision on BlackRock’s application by January 15, with the final deadline set for March 15.
Seyffart observed that both the Division of Trading and Markets and the Division of Corporate Finance were present during these meetings, as they hold the key to approving or denying the 19b-4’s and S-1’s.