What do you think happens to the price of Bitcoin if the Bitcoin ETFs get approved? Asking for a friend.

It has been a long time coming (though there are already ETFs in Canada tracking BTC’s price). This (if approved) will reduce regulatory risks and concerns for funds (especially large ones) who wish to allocate a small % to Bitcoin.

​

Link 1: https://www.channelnewsasia.com/business/us-sec...

​

Long rant While I see a constant wave of people getting interesting in bitcoin, there are still large groups of people thinking Bitcoin is a fad and it will eventually trend to 0. Heyo, 2013 called and it wants its argument back. I think an ETF approved by the SEC will be a huge validation to the legitimacy of Bitcoin. I usually try not to post stuff like this, but we need to understand the global worldview of bitcoin and disregard our person worldview of it, to objectively evaluate its appeal.

Our perspective of the world makes up 80% of our worldview yet is 1/7+billionths of the actual worldview. In other words, our individual perspectives on Bitcoin are irrelevant. However, I see a subset of the global population at large (Myanmar, Venezuela, parts of Africa) that experience >10% inflation on an annual basis. Their local currencies become at least 10% more worthless by the year (and sometimes so much more). Access to USD (which is a store of value) is controlled by the government which may be corrupt. Access to gold is also likewise regulated since governments control the customs. In some countries (e.g. Lebanon), banks don’t even have local currencies for citizens to withdraw. Where do these citizens get access to hard money that can’t be confiscated by the government? Bitcoin clearly fixes this and is a much scalable solution than secretly smuggling gold or cash to the citizens.

​

I see another subset of the global population who grew up reading about bitcoin in the news, and media outlets hyping it as the next digital gold. I see them as default anti-establishment, who think that Bitcoin represents a form of individual sovereignty that cannot be controlled by the government. For all the talk about gold, the retail-at-large will only compare past gains, and there is only one clear winner. To people stuck in a rat race, they may possibly want out of the rat race; Bitcoin represents a call option for that. To large funds willing to dip their toes into Bitcoin, it represents an uncorrelated asset class that promotes portfolio diversification that can also optimize performance.

​

Bitcoin represents something different to each sub-group, and that makes up the collective worldview (and demand) of Bitcoin. THAT is what we need to identify, not individual opinions that are irrelevant.

​

Sorry for the long rant. While having a personal view of Bitcoin is valid, it doesn’t matter what you think. It matters what the market thinks. In any case, back to the point: I don’t really care how Bitcoin performs over this next week in lieu of the ETF decision. BTW, not financial advice, but if this ETF gets approved, I will buy (as regulatory risk is all but removed). If ETF gets delayed/rejected, I will buy HARDER.

​

If you want to learn more about “why Bitcoin”, refer to this link below:

https://seedly.sg/opinions/analysis-why-i-think...

​

Cheers,

Joey