Bloomberg Analyst Forecasts Two Key Factors Propelling Growth of Bitcoin ETFs in 2024
Eric Balchunas, a Bloomberg analyst, predicts that two important developments will expand access to Bitcoin ETFs by the end of the year.
The first development focuses on introducing Bitcoin ETFs to mainstream advisory services. Currently, these services are not available on prominent wirehouse platforms that oversee assets worth between $7 trillion and $10 trillion. Balchunas expects these platforms to integrate Bitcoin ETFs in the coming months. He compares this integration to improving the visibility of a product in major retail environments, which he believes will increase adoption.
Balchunas also highlights the potential for larger investment platforms like Raymond James and LPL, as well as smaller platforms, to provide wider access to Bitcoin ETFs.
The second development involves the introduction of options trading, specifically based on Bitcoin ETFs. This is projected to begin in September.
In addition to these catalysts, Balchunas foresees the creation of derivative products and strategies surrounding Bitcoin ETFs. This includes structured products similar to those developed by Ark Invest, as well as leveraged ETFs and investment strategies that combine Bitcoin with other assets.
According to Balchunas, these innovations will contribute to the growth and diversification of the Bitcoin ETF ecosystem, making it more appealing and useful for investors.
