Bloomberg ETF analyst Eric Balchunas claims that Bitcoin (BTC) has entered an adoption phase similar to Facebook's growth from 1 billion to 3 billion users.
The weakening of Bitcoin's countercultural appeal is interpreted not as a decline but as a sign of maturation. The spot exchange-traded fund (ETF) has become a catalyst for public entry.
ETF expert, Bitcoin likened to the 'unpopular period of Facebook'... Is this a sign of an increase?
Eric Balchunas, senior ETF analyst at Bloomberg Intelligence and co-host of the Trillions podcast, compares the current situation of Bitcoin to the time when the older generation flocked to Facebook.
“Bitcoin feels similar to when my parents joined Facebook. On one hand, it doesn’t look as 'cool' due to the meme boom generation, but on the other hand, the number of Facebook users has grown from 1 billion to 3 billion after the coolness faded....” – Eric Balchunas, Bloomberg ETF Analyst
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According to Meta's data, Facebook surpassed 1 billion monthly active users in 2012. By the end of 2023, it reached 3.007 billion.
Since 2013, the annual growth rate has decreased to below 10%. However, during the 'boring' periods, the total number of users nearly tripled.
Balchunas also requested specific data on the increase in Bitcoin holders over 3, 5, and 10 years. He mentioned that about 1 million people purchased the BlackRock iShares Bitcoin Trust (IBIT) fund in its first year.
According to current estimates, the number of Bitcoin holders worldwide is about 106 million. In 2021, it was between 30 million and 50 million.
IBIT currently holds 782,180 Bitcoins. This is about 3.9% of the total supply.
Meanwhile, some macroeconomic analysts say that there are still those who view Bitcoin as having no value. However, Bitcoin has only just begun.
When assets lose identity-based appeal and a wide range of passive funds flows in, this is usually the starting point of the largest growth phase.
Will the base of Bitcoin holders grow to 1 billion to 3 billion users like Facebook? The trends following the ETF approval point in that direction.
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