Bitcoin Could Test $40,000 Before the New Year

Nov 20, 2023
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Bitcoin may be on its way to $40,000 before year end.

Last checked, BTC was up to $37,560 with growing momentum.

All thanks to potential BTC ETF approval. “The US Securities and Exchange Commission is expected, possibly by mid-January or sooner, to green-light exchange-traded funds that will buy and sell Bitcoin in the famously tax-efficient and cost-effective ETF wrapper — after a decade of rejecting such applications,” says Bloomberg.

“Now with the likely involvement of respectable heavyweights like BlackRock, Fidelity and Invesco, the spot-Bitcoin ETF market has the potential to grow into a $100 billion juggernaut in time, according to Bloomberg Intelligence estimates,” they added.

When and if it happens, investors may want to be invested in mining stocks, and companies with a large BTC holding, including MicroStrategy (MSTR), which is now up to $510.40.

Look at the ProShares Bitcoin Strategy ETF (BITO). for example.

If you believe the value of BTC will push higher, you can invest in the Pro Shares Bitcoin Strategy ETF (BITO). With an expense ratio of 0.95%, the ETF tracks the performance of spot Bitcoin.

This one mimics the price of Bitcoin as closely as possible without investing in the cryptocurrency itself. As noted by Money, “Like all crypto ETFs, part of the allure of BITO is that investors don’t need to deal with cryptocurrency wallets and private keys but can instead invest through a broker they already use.” When we first brought BITO to your attention, it traded around $16. It’s now up to $18.85 and could rally even more with Bitcoin.

Or, look at MicroStrategy (MSTR).

On Oct. 23, MSTR traded at $348.

At the time, we noted, “After dropping from about $480 to a low of $307, the MSTR stock is starting to pivot higher again. Two, it’s pivoting from over-extensions on RSI, MACD, and Williams’ %R. And three, with Bitcoin showing signs of rebounding, the company just increased its stake in BTC to $4.68 billion, which could boost the MSTR stock even more.”

Today, MSTR is up to $510.40.

There are also mining stocks, like Marathon Digital (MARA).

Around Oct. 23, MARA traded at $8.75. it’s now up to $10.73.

Helping, the company just announced that, “In October, we increased our energized hash rate 1% to 19.2 exahashes as the facility in Garden City, Texas, where we have 4.1 exahashes of miners installed, began to come online,” said Fred Thiel, Marathon’s chairman and CEO. “Once this facility is fully operational later this month, we will have surpassed our 23 exahash target and solidified Marathon as the largest publicly traded Bitcoin miner in North America.”