Wall Street believes Bitcoin ETF is imminent and invests 50 billion dollars

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Last Updated on 6 November 2023 by CryptoTips.eu

Although Gary Gensler, head of the American stock market watchdog SEC, and Elizabeth Warren, the Democratic senator from Massachusetts, both are trying their best to stop cryptomania from spreading in the US, Wall Street is not having any of it. Knowing that the SEC will ultimately have no choice and will have to allow a Bitcoin ETF (exchange traded fund), several Wall Street investment banks have apparently purchased some $50 billion worth of Bitcoins in recent months.

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Blackrock

The US Securities and Exchange Commission must approve an ETF directly related to the current Bitcoin price, probably before the end of this year at the latest, probably the Blackrock one. If that happens, and combined with the knowledge that there will be a Bitcoin halving next year (normally a very bullish moment), analysts are convinced the Bitcoin price will move higher quite quickly.

It is probably for this reason that major Wall Street investment banks have been quietly buying Bitcoin for several months, which probably also explains the low volatility. It has been at an exceptionally low level for months, as banks buy more every time Bitcoin trades around $25k again

Warren

However, there is still great opposition in the United States to the introduction of such an ETF, as this could be seen as admitting that the US dollar will become less important in the future.

This also explains the efforts of Democratic Senator Elizabeth Warren, who is trying to get several politicians onboard to ban crypto altogether, or at least make its trading very difficult.