#marketrebound Bitcoin Could Go Parabolic If ETF Demand Stays Strong 📈
Bitwise CIO Matt Hougan says Bitcoin could see parabolic growth if ETF demand continues long term.
He compares Bitcoin to gold: when central banks doubled gold buying after 2022, prices didn’t spike immediately — they rose slowly at first, then surged later once sellers ran out.
Why this matters for BTC
• Bitcoin ETFs have been buying more BTC than new supply since Jan 2024
• Price hasn’t exploded yet because some holders are still selling
• If selling dries up while ETF demand stays strong → supply shock risk
Financial markets are monitoring public discussions and reports related to U.S. Federal Reserve leadership, which have drawn attention across policy and market circles.
Recent headlines led to higher activity on forecasting platforms, reflecting sensitivity to uncertainty rather than any confirmed outcome.
Analysts note that perceptions around the Federal Reserve — an institution structured to operate independently — can affect market sentiment and volatility expectations across currencies, equities, and digital assets.
At present, no official actions or confirmed developments have been announced. Market participants continue to focus on verified information and broader macroeconomic signals.
Fitch Flags Risks Around Bitcoin-Collateralized Products
Fitch Ratings has highlighted elevated market value risks linked to securities that use $BTC as collateral. The agency pointed to factors such as price volatility, deal complexity, and counterparty exposure.
Because these products depend on BTC price stability, sharp market moves or forced liquidations could increase downside pressure. Fitch referenced past periods of crypto market stress to emphasize the need for prudent structuring and strong risk controls.