The Bitcoin ETF Boom Is Here — But Is It Built To Last?
The iShares Bitcoin Trust (NASDAQ:IBIT) is seeing its time in the sun once again. The fund on July 10 set a new 52-week high, an astonishing 125.86% increase from its lows. Bitcoin itself broke above $118,900, reaching an all-time high today.
With tech stocks like NVIDIA Inc. (NASDAQ:NVDA) hot and whispers of rate cuts becoming louder, IBIT’s ride is not another crypto sugar rush; it could be something more profound: the mainstreaming of Bitcoin ETFs as solid portfolio staples.
So, is the rally genuine, or are investors again pursuing a mirage constructed of digital gold?
Tech Tailwinds And The Bitcoin-NVIDIA Connection
IBIT’s rally is synchronous with a technology surge that has been nothing less than historic. Nvidia’s $4 trillion valuation and the Nasdaq’s record run have made it a rising tide for risk assets, Bitcoin included. Bitcoin enthusiasts note that the cryptocurrency has a tendency to track tech stocks. With AI mania fueling demand for compute power and investor enthusiasm, Bitcoin has been along for the ride, flaunting its own bona fides as a macro asset.
In reality, others contend Bitcoin is now more than a hedge against fiat or inflation; instead, it’s evolving as a high-beta proxy for …
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