Lark Davis, a well-known cryptocurrency analyst and trader, has identified several important developments in the bitcoin ecosystem that could trigger an even more intense bullish cycle than initially anticipated. Davis x.com/TheCryptoLark/status/1784925708797571501″ target=”_blank” rel=”nofollow”>perspective delves into the revolutionary changes in the bitcoin ecosystem, such as institutional and global acceptance, that have the potential to accelerate the current bull market.
According to the analyst, a major bitcoin supply shock is about to occur. This is a result of miners now being able to produce only 450 btc each day, due to the recently concluded bitcoin Halving event, which cut the miner reward in half.
bitcoin Spot ETFs Set to Boost Prices
The latest country to approve bitcoin Spot ETFs is Hong Kong. Two weeks ago, the Hong Kong Securities and Futures Commission approved the btc Spot ETF to multiple leading asset managers, thus positioning the city as a major hub for these products. Given the previous impact of the funds that propelled btc to a new all-time high, the approval of the products in Hong Kong could see the asset see another increase in its value.
Hong Kong's decision to approve spot ETF products, which have already started trading today, has inspired other Asian countries, such as South Korea, Japan and Singapore, to consider doing the same. On the other hand, the Australian Stock Exchange is already on the verge of accepting the funds within a year.
As a result of these developments, institutions around the world are competing for a share of the bitcoin market. This could trigger much wider adoption of btc, which would have a significant impact on prices.
Davis highlighted that bitcoin availability on all exchanges is currently at an all-time low and OTC desks are running out. Because of this, the crypto expert believes that this current bull cycle will be much crazier than anticipated.
btc prices continue to struggle
Despite the liquidation of funds in Hong Kong, btc has not yet witnessed any major price movements as it continues to struggle between $61,000 and $66,000. Given this, several analysts are predicting a further drop in prices in the coming weeks.
bitcoin is currently trading at $61,322, indicating a drop of 1.60% in the last 24 hours. Its trading volume is up 41%, but its market capitalization is down more than 1% in the last day.
Featured image from iStock, chart from Tradingview.com
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