Approval of Bitcoin Spot ETF in the US Could Drive Bitcoin Price to $50,000-73,000

According to a recent report by CryptoQuant analysts, the approval of a Bitcoin spot ETF in the United States could lead to a significant increase in the price of Bitcoin. This news has garnered considerable interest from researchers and investors, as it is expected to have a substantial impact on the entire cryptocurrency market.

Analysts believe that the approval of a Bitcoin spot ETF could attract institutional investors to the cryptocurrency space. The permission for a spot Bitcoin ETF would mean that investors can gain access to digital gold through traditional financial instruments, making Bitcoin more accessible and appealing to large funds and companies.

This development may also lead to a substantial increase in the market capitalization of cryptocurrencies. Analysts estimate that the approval of a Bitcoin spot ETF would add $155 billion to the market, roughly equivalent to about 1% of the assets under management (AUM) of managing companies. This would increase Bitcoin's capitalization to $450-900 billion, which represents a third of its current value.

To gain a deeper understanding of how the approval of a Bitcoin spot ETF may affect the market, analysts are examining historical data and price dynamics. Their analysis shows that in the past, during bull markets, the ratio between market capitalization and realized capitalization fluctuated between 3 and 6.

What they call "elasticity" indicates how market capitalization can respond to an influx of new funds. The most interesting aspect is that during periods of rising Bitcoin prices, market capitalization increases faster than realized capitalization, indicating growing investor interest and rising asset prices.

Based on this historical relationship and the expected influx of $155 billion into the market, analysts predict a price increase of 82-165%. This means that the price of Bitcoin could rise from its current level to a range of $50,000 to $73,000 after the approval of a Bitcoin spot ETF.

In summary, the approval of a Bitcoin spot ETF in the United States has generated significant interest in the cryptocurrency community and the financial industry. This development could lead to a substantial increase in the price of Bitcoin and the capitalization of the cryptocurrency market, making cryptocurrencies more attractive to investors.