A Coinbase researcher says the impact of a potential regulatory greenlight for a US spot Bitcoin (BTC) exchange-traded (ETF) has already been “partially priced in” for the top crypto asset.
In a new analysis, David Duong, head of institutional research at the crypto exchange, says that the divergence between the performance of Bitcoin and the altcoin market suggests that market participants are already anticipating the approval of one or more BTC ETFs.
According to Duong, Bitcoin may not rally as hard as traders expect it to when a spot-based ETF gets the nod since the highly anticipated event is already partially priced in.
“That makes it less clear how much more Bitcoin could outperform if a favorable U.S. Securities and Exchange Commission (SEC) decision occurs.”
Duong also says that if a BTC ETF is approved, it might take some time for significant inflows to…