Bitcoin faces a wall in 2022 and hits an all-time high of $69,000 from a year ago, which is far from forever. However, some market watchers believe the largest cryptocurrency could regain the shine it lost in 2023.
Assuming the forecast turns out to be correct, it could benefit a variety of exchange-traded funds, including VanEck Bitcoin Strategy ETF (XBTF)That VanEck Digital Assets Mining ETF (DAM)And the VanEck Digital Transformation ETF (DAPP C+),
The actively managed XBTF offers exposure to Bitcoin futures, while DAM and DAPP are index-based ETFs focused on crypto-correlated stocks — an asset class that will see its share in 2022 as a return to digital currency prices. I fight.
“So what happens next? According to Reckitt Capital, a popular crypto technical research paper, Bitcoin could matter in the near-term by the end of Q3. The quarterly financial statements are being watched with excitement by traders. There are levels,” explained Jack Denton for Barron’s.
Reckitt Capital’s analysis of recent Bitcoin technicals shows that the digital coin could face more pain if it fails to hold the $19,880 area, suggesting that if this level breaks, investors may consider ETFs such as DAMs and Rushing DAPPs. and XBTF.
However, if this price range acts as credible support or if Bitcoin bounces off a fresh bear market, these ETFs could be attractive options for risk-tolerant buyers. Additionally, among all major asset classes, according to some experts, Bitcoin is expected to be the best-performing in 2023.
According to an analysis and forecast of alternative investment performance by a team at Jaypee, asset classes such as global equities, government bonds, corporate bonds, real estate, private equity and hedge funds have forecast returns for Bitcoin over the next year or so. According to Baron Morgan.
The bank forecasts a 38% jump for Bitcoin over the next year — enough to pull it out of a bear market. A 38% surge from current levels would take Bitcoin to $27,250, meaning it would need to more than double from there to retake its all-time high.
If the seasonal trend continues, the aforementioned VanEck ETFs could be in for a good October.
“But as a final word for investors in the month ahead, it might be worth taking a look at the historical performance of the largest cryptos in October, a month that saw Bitcoin surge an average of 33%,” Barron said.
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