$62,000, Coindesk’s Bitcoin Tracker indicates, is roughly the price that Bitcoin hovers around nowadays. This rise in value, while an amazing feat, was semi-expected. It rose in anticipation for the Bitcoin ETF having its debut on the New York Stock Exchange.
Along with that, according to Marketwatch, Tom Lee, Fundstrat founder, and crypto enthusiast said that the rollout of the ProShares Trust fund could help catalyze further buying in bitcoin BTCUSD, 2.11% by a host of new individual investors. Because of this, Bitcoin has reached a new all-time record for its price and could very well continue to jump higher and higher.
“BITO”, the name the Bitcoin Strategy ETF was given, was set to launch Tuesday. It would become the first U.S. ETF linked to crypto, marking itself a massive feat for the nascent digital-asset sector, which was born in 2008.
The brings forth interesting times and decisions for those that have invested—not only for singular investors but for large projects such as Texas Senator Ted Cruz’s Bitcoin Mining plan to fix the Power Grid.
The ETFs, while in theory offering more investors access to bitcoin without worrying about the custody of the virtual asset, has driven the bitcoin prices to $65,000 According to Marketwatch, it could surge up to170% and reach $168,000 by the year’s end.
According to Lee, the two primary factors to push Bitcoin Prices higher is the expectation of the new ETF, which draws significant inflow. The second factor is that only a mere fraction of the investors are currently exposed to bitcoin and others like it.
So what does this say? What should investors do with the new record high? According to Nextadvisor and those that they’ve spoken to, nothing. The last high had reached $65,804 but was quickly followed by a severe drop. It floored at around $30,000 Dollars, less than half the high. The experts advise caution and speculation rather than making rash decisions in celebration of Bitcoin’s value.
Tori Dunlap, internationally-renowned money and career expert, advises that one should not invest more than 5% of your portfolio—and one must be fine to lose that 5%.