The ETF Deadline Approaches
Senior Bloomberg ETF analyst Eric Balchunas forecasts that most applicants might secure approval this week if they've met the regulator's requirements before December 29. Notably, key players like BlackRock, Grayscale, and 21Shares submitted 19b-4 amendments, a crucial step towards potential approval.
Market Movement and Predictions
Cryptocurrency gains and losses over a 24-hour period:
- Siacoin (SC/USD): -7.92% at $0.009752
- Bitget Token (BGB/USD): -0.65% at $0.61
- Stacks (STX/USD): +1.62% at $1.62
The global crypto market cap dropped by 4.80%, reaching $1.66 trillion.
Financial Market Overview
U.S. stock futures remained relatively stable, with slight changes in major averages following a down week in 2024. Traders brace for inflation data and big bank earnings in the upcoming week.
Congressional leaders agreed on a $1.59 trillion spending deal to avert a potential government shutdown.
Factors Impacting Markets
Investor concerns about equities' overbought status emerged after a dovish shift from the Federal Reserve and uncertainty regarding future rate cuts. December's consumer price index and producer price index releases will gauge the Fed's efforts to curb inflation.
Analyst Projections
Analysts offer contrasting predictions based on the Bitcoin ETF:
- Cryptocurrency analyst Michael Van de Poppe anticipates significant market impact, projecting a bull cycle akin to past market bubbles or Gold's surge in 2004-2011, expecting liquidity inflow of $30-60 billion.
- Analyst PlanB forecasts a potential 10x surge for Bitcoin, citing bullish indicators and a continued exponential growth potential.
- CrediBull Crypto predicts substantial Bitcoin market volatility as ETF week approaches, suggesting altcoins might trail BTC's movements.
Data from Santiment suggests potential volatility ahead, noting increased whale transactions, historically linked to market cycle shifts.