Billionaires are selling Nvidia stock to buy into iShares Bitcoin Trust, expecting significant growth

From Nasdaq
July 21, 2024 05:05:00 AM:

Artificial intelligence has been a major focus on Wall Street, with Nvidia emerging as a top AI stock. Analysts see a big opportunity in Bitcoin due to spot Bitcoin ETF approval, predicting prices could hit $1 million or even $3.8 million by 2030. Hedge fund managers are selling Nvidia shares to buy into iShares Bitcoin Trust, a newly approved spot Bitcoin ETF.

Institutional investors are showing interest in spot Bitcoin ETFs, driven by the limited supply of 21 million coins. Demand for Bitcoin is expected to increase significantly, potentially driving prices to $3.8 million. Major hedge funds and investment banks are starting positions in spot Bitcoin ETFs, with Bernstein and Ark Invest forecasting significant growth driven by institutional demand.

Bitcoin’s halving event in April 2024 is seen as a catalyst for a new cycle with unique demand-supply dynamics. Historical trends show that Bitcoin peaks between 12 to 18 months after halving events, suggesting a potential new high between April 2025 and October 2025. Investors are advised to approach Bitcoin investments with caution, considering its volatility and the unpredictable nature of the market.

Investors considering iShares Bitcoin Trust should be aware of the risks associated with Bitcoin’s price volatility and lack of predictability. While the Motley Fool Stock Advisor team has not included iShares Bitcoin Trust in its list of top stocks, adding exposure to the cryptocurrency may provide diversification benefits. Past performance is not indicative of future results, and investors should carefully weigh the potential risks and rewards before investing in Bitcoin.

Read more at Nasdaq: Billionaires Are Selling Nvidia Stock and Buying an Index Fund That Could Soar Up to 5,655%, According to Certain Wall Street Analysts