We've quite quickly seen the effect of these etf's on liquidity and price but this is only the start, many are aware that asset allocators will be unlocked over the following months giving us tremendous tailwinds but I think, more importantly, is how many etf's Bitcoin&crypto could be added to.
There are 458 different etf's holding apple stock. 458! Think about that, thats 458 different products that have to buy apple stock on the spot whenever someone invests in the fund. Why so many? Because they have different goal's and prospectives. VGT holds 77m shares because they are a fund that invests in a basket of information technology stocks, MGK holds 13m shares because they invest in all mega cap growth stocks, VTI holds 463m shares because they invest in the total stock market, on and on 455 more times!
Yes the btc etf's are crushing it as is but imagine the entire new market that could be created over the coming decades (or even quicker if Gary gets tossed) imagine,
- Bitcoin/Ethereum for some diversified gains
- Bitcoin/Gold for inflation protection
- Bitcoin with high growth tech for people with high risk tolerance looking for upside
- I would personally invest today in a basket of the top 10 cryptos if it was available in a tax advantaged account
I could go on with another 450+ ideas but you get the point. Each one of these products would be forced to buy up any liquidity at any price; you are not bullish enough. Any etf baskets you'd like to see?
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