If you want exposure to Bitcoin but don’t want to buy Bitcoin, there’s an ETF alternative.
That’s the BITO, or the ProShares Bitcoin ETF (NYSE ARCA: BITO), which last traded at $11.10 a share, as compared to a single BTC priced at $82,971 and rising.
With the BITO ETF, it gives investors a way to get exposure to Bitcoin through a regular brokerage account, without setting up a digital wallet or buying cryptocurrency directly. BITO doesn’t actually own Bitcoin. It invests in futures contracts and swaps, or financial agreements tied to Bitcoin’s price movements. That makes it a convenient way to participate in the cryptocurrency market. Its annual expense ratio is 0.95%.
Helping Bitcoin and the BITO ETF, JPMorgan’s “long-term Bitcoin forecast puts its annual compounded return at 10% over 10 to 15 years, above projections for U.S. large-cap stocks, REITs, and gold. The forecast gives Bitcoin the highest modeled return among those assets,” as noted by Crypto News.
In addition, Strategy Inc.’s Michael Saylor also believes Bitcoin is set to break $100,000 again.
“It should definitely move back into the six figures beyond $100,000,” Saylor, the co-founder and executive chairman of the largest corporate accumulator of the cryptocurrency, as quoted by Bloomberg. “We hit the bottom around slightly below $60,000, I think we bounced off it. Now, we are moving up into the 80s. I think we will march forward from here.”
Again, if you’re not a fan of investing directly in Bitcoin, consider the BITO ETF for exposure.
Since bottoming out at around $8.50 in August, the BITO ETF is now up to $11.07 and could rally even higher as it piggybacks Bitcoin.
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