A crypto expert says that many asset managers prefer to hold long positions in the BTC futures market

Fidelity believes that the main cryptocurrency will be able to consolidate its recent growth even against the backdrop of a decline in the asset price after the SEC approves a Bitcoin-based ETF. As Jurrien Timmer, director of global macroeconomics, noted, the fall in the price of BTC indicates a time-limited correction rather than a reversal of the long-term trend.

Although some experts predict a decline in the value of the first digital coin in the near future to $36,000–38,000, a top manager at Fidelity points to the consolidation of Bitcoin’s recent gains.

“While the SEC’s approval of spot Bitcoin ETFs last week was (in my view) a major milestone along Bitcoin’s journey to adulthood, there may well be some price churn over the near term as “proxy positions” in BTC futures and related equities get converted into spot. As a long-term investor, I remain focused on the slope of the adoption curve and monetary policy (via real rates). Timmer said.

He also added that BTC currently finds itself in the middle of the price range that crypto enthusiasts consider fair for a crypto coin. According to the expert, this is due to the growth rate of the network and the size of bets. Timmer emphasized that many asset managers prefer to hold long positions in the BTC futures market.

In addition, a Fidelity representative noted that although the approval of the Bitcoin ETF was “an important milestone in the maturation of Bitcoin,” price fluctuations will be recorded in the market in the near future. This is due to the fact that investors will begin to redirect their assets from futures and similar products to the spot market.

And Morgan Stanley came to the conclusion that the role of the US dollar could be reconsidered. The analysts attributed their findings to growing interest in crypto assets such as BTC, the rise of stablecoins, and the prospects for the use of central bank digital currencies in international financial transactions.

“These innovations, while still in their nascent stages, hold opportunities to both erode and reinforce the dollar’s hegemony in global finance. Macro investors should consider how these digital assets, with their unique characteristics and growing adoption, could reshape the future dynamics of the dollar, including their implications for aspects such as global financial stability and monetary policy,” the investment bankers said.

Morgan Stanley’s head of digital assets, Andrew Peel, predicts that the de-dollarization of the global economy could accelerate significantly due to the approval of spot BTC ETFs, as weekly inflows into such products have already reached billions of dollars.