Australia Set to Launch Bitcoin Spot ETFs: How will BTC Price React?

Insights

Australia is poised for several spot Bitcoin exchange-traded fund (ETFs) approvals in 2024, mirroring trends in the United States and Hong Kong. Can the bullish tailwinds from this development halt the ongoing BTC price free-fall? 

Australia Regulators Set to Approve Bitcoin ETFs

The Australian Securities Exchange (ASX), which handles most of the country’s equity’s trading, is expected to approve the first spot Bitcoin ETFs for its main board by year-end. This development comes after the immense success of spot Bitcoin ETFs in the United States, which have amassed over $53 billion in 2024 alone, with offerings from giants like BlackRock and Fidelity.

VanEck and BetaShares are among the major issuers lining up to list their products, potentially unlocking billions in fresh investment inflows for BTC and the broader crypto markets.

Justin Arzadon, head of digital assets for Sydney-based BetaShares, noted that inflows in the US “prove digital assets are here to stay,” and added the firm has secured ASX tickers for both spot Bitcoin and spot Ether ETFs.

Australia’s massive $2.3 trillion pension market could be a significant driver of inflows, with a quarter of the country’s retirement savings residing in self-managed superannuation programs that allow individuals to control their investments.

This wave of applications represents a second attempt at launching spot Bitcoin ETFs in Australia as two years ago similar products debuted on the CBOE Australia, a smaller exchange accounting for less than a fifth of equity trading volume.

BTC Price Forecast: Will Australia ETF Approval Drive BTC to $70,000?

Bitcoin’s downward price trend remained unaffected on Monday morning, despite positive sentiment surrounding Australia’s imminent Spot BTC ETF approval.

In the early hours of April 29, BTC price slid to a 10-day low of $61,931, bringing its weekly-timeframe dip to the 8% mark. Meanwhile, the Bollinger band technical indicators suggest another week of tepid performance ahead.

As seen above, Bitcoin price has traded below the 20-day SMA price support level for 3-consecutive days, signaling growing bearish momentum.  Without a significant demand surge, BTC price is now at risk of dropping toward $60,000 in the week ahead.

On the contrary, If US-listed Bitcoin ETFs react positively to Australia’s approval stance, BTC price could gain upward traction.

But considering, last week’s record $328 million outflows, the ETFs have a lot ground to make up, before Bitcoin price can approach the $70,000 territory again.