Crypto Spot ETFs Will Have More Influence on Market's Price Action: Canaccord
Bitcoin (BTC) and ether (ETH) spot exchange-traded funds (ETFs) have been approved, which could potentially reverse the recent underperformance of digital assets compared to traditional assets, according to a report by Canaccord Genuity. The report suggests that spot ETFs will play a significant role in crypto price action. Despite a slowdown in bitcoin ETF inflows since February, institutional adoption is growing, with over 50% of the world's largest hedge funds trading or holding spot BTC ETFs. Retail investors may also buy ETFs to gain crypto exposure through individual retirement accounts and other tax-advantaged accounts. Ether spot ETFs are expected to launch later this summer following SEC approval of initial filings. The report also suggests that the launch of spot ether ETFs could increase institutional interest in other assets, benefiting the wider crypto ecosystem.
