Wall Street (Institutional Money) Is Coming: Prices Will Explode

The entire cryptocurrency market is <$300B right now. It peaked somewhere around $800B before turning south, aiding by a great deal of FUD.

Many seem intent on listening to the FUD believing that cryptocurrency is not going to explode in coming years. Most of my writing centers around the fact that this is completely untrue. The foundation of cryptoeconomics is being laid as I write these words. Often I tell those who are in a position, ignore price action and focus upon development. That is what ultimately will provide value.

Nevertheless, price action will be affected here shortly. Wall Street institutions are aching to get into the cryptocurrency game. Thus far, we were not a true part of the Wall Street casino. That is about to change. Cryptocurrency is about to be legitimized by this group meaning that we are looking at trillions of dollars that is available.

We see inklings of this via the headlines. Some of the actions by Coinbase, as an example, show where they are headed. However, a few acquisitions, especially by an outside entity does not mean access to Wall Street is provided.

That said, we now have the start of companies maneuvering to go direct. Here is a link to the SEC site that shows the filing for a Bitcoin ETF.

https://www.sec.gov/rules/sro/cboebzx/2018/34-83520.pdf

This is as legitimate as it gets. The SEC took the next step and open the filing up to comments.

https://www.sec.gov/comments/sr-cboebzx-2018-040/cboebzx2018040.htm

We are witnessing standard operating procedures for a move of this type. After a comment period, it will be up to the SEC to determine the validity of the claim. In the filing, the Trust referred to a number of other approvals that entities received from other regulating agencies such as the State of New York. I would say this bodes well for getting the go-ahead.

That said, the SEC could still reject this. My opinion is that the SEC will not fend this off forever. There is going to be someone who gets approved and this might well be the first. If the SEC agrees, it will be the first of a flood of ETF that will open surrounding many different tokens.

To see the power of Wall Street, here is a part of the filing.

The Trust intends to buy and sell bitcoin in the OTC bitcoin market. The Sponsor currently expects that often it will be more cost efficient for the Trust to effect large trades (e.g., $500,000 or greater) in the OTC market rather than on a bitcoin exchange, The Trust therefore expects to conduct most of its trading in the OTC bitcoin market, primarily on the OTC platforms that comprise the MVIS® Bitcoin OTC Index (“MVBTCO”).

It will purchase Bitcoin in blocks greater than $500K. It will not be uncommon to see multi-million dollar purchase. It takes a lot of $5,000 and $7,500 BTC purchases to add up to that. And this is only one potential ETF. What will happen when there are 20 of them?

This will put extreme buying pressure on all tokens. It is the anticipation of moves like this that give people the fodder to place outrageous claims on BTC by year end or 2020. When Wall Street gets involved, the money does start to flow.

Here is the position we find ourselves in. Do you really think Wall Street will be shut out of this market? Personally, I do not see how that happens. They will get in and, when they do, things will get real crazy.

Hodlers will be rewarded when that happens. The sheer buying power almost mandates it.

And then, with Wall Street money flowing in, we need to focus upon decentralizing everything right under their noses.

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