"Hmm let it be true? It's like I can't believe it, but it might happen."
Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) have the potential to explode due to China launching ETFs plus Hong Kong and the United States (US) will fight for the inflow of cryptocurrencies into their respective funds.
Following the demand created by the ETF may be far more than what is in supply, it could push the price of BTC, ETH including XRP to climb higher than its current level.
Through observation, more than $50 billion in assets under management (AUM) have been drawn into the new BTC ETF spot pool authorized by the Securities and Exchange Commission (SEC) in January 2024 and investors are flocking to gain exposure to BTC.
Pleased to note that BlackRock and Fidelity with AUM of $15 billion and $9 billion respectively have emerged as the two largest new BTC ETF issuers, so crypto market participants are now assessing performance in Hong Kong.
This is because the Hong Kong issuer confirmed that regulatory restrictions have prevented mainland Chinese funds from buying ETFs linked to digital assets.
Recently, correspondence from a Hong Kong-based ETF provider has clarified misconceptions regarding the investment prowess of mainland Chinese investors participating in the Southbound Stock Connect initiative.
Due to China's stance on crypto-risk, the Stock Connect program has been designed to encourage cross-border investment between mainland China and Hong Kong but it should be noted that it does not include digital currency products.
