Following last week’s launch of 11 spot Bitcoin exchange Traded-Funds (ETFs) in the United States, Matt Hougan, Chief Investment Officer (CIO) at Bitwise, has offered a compelling perspective on the potential impact of these ETFs on the Bitcoin market. His remarks come at a critical juncture, with the next Bitcoin halving event anticipated in mid-April 2024. Spot ETFs Could Have Impact Like 1.4 Bitcoin Halvings Hougan draws a parallel between the impact of Bitcoin ETFs and the Bitcoin halving events. He states, “Crypto natives have a good mental model for the impact of Bitcoin ETFs on the market: The halving.” He further explains the historical context, “Roughly every four years, the amount of new bitcoin being created falls in half. Bitcoin’s price has historically risen in the year +/- surrounding the halving.” Related Reading: How Spot Bitcoin ETFs Could Catapult BTC Price To $500,000, According To This Crypto Trader In April, when the block number hits 740,000, the reward will fall from 6.25 to 3.125 BTC. Highlighting the supply-demand dynamics of Bitcoin, Hougan remarks, “Bitcoin’s price is set by supply and deman ..
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