On the social media platform X, a prominent Bitcoin maximalist known as The Bitcoin Therapist spoke optimistically about the recently approved Ethereum ETF. Initially skeptical, this individual now views the approval as positive for Bitcoin and described the ETFs as an “incredibly bullish” signal for the largest cryptocurrency.
Impact of Spot Ethereum ETFs on Bitcoin
The Bitcoin Therapist emphasized that the approval of the spot Ethereum ETF is likely to trigger significant capital inflow into the cryptocurrency market. Believing that this development will benefit the market as a whole, the Bitcoin maximalist noted that the approval of such ETFs indicates a willingness to recognize legitimate demand for various cryptocurrencies, stating, “As long as there is real demand, your cryptocurrency will be approved no matter what.”
Despite the bullish outlook, The Bitcoin Therapist warned about potential risks associated with capital inflow. They expressed concern that this could lead to an increase in “memecoins and scamcoin fantasies” and potentially cause disruptions for some traditional finance (TradFi) funds.
The Bitcoin Therapist stated, “This will be a disaster, yes. It could even be a disaster for some TradFi funds.” However, they are confident that Bitcoin will ultimately emerge as the biggest beneficiary from this chaos, absorbing capital from failed projects as it has in previous cycles.
Long-Term Outlook for Bitcoin
The Bitcoin Therapist predicts a significant influx of funds into the cryptocurrency market over the next 4-5 years. They believe this will result from various funds desperately attempting to secure ETF approvals. “I have no doubt that funds will pump a lot of money into this space,” they said, expecting some projects to succeed and others to fail, but believing that Bitcoin will absorb them all.
According to the Bitcoin maximalist, the overall approval of spot Ethereum ETFs is an incredibly bullish long-term signal for Bitcoin. Despite some projects failing, The Bitcoin Therapist believes the largest cryptocurrency will reap the real rewards, adding, “Some will be lucky and get approved, others will go to waste, but Bitcoin will get the real reward.”
Along with this, spot Bitcoin ETFs in the US showed significant investor interest with a net inflow of $107 million on May 23. This marked the ninth consecutive positive inflow day, indicating that demand for spot Bitcoin ETFs remains strong.
