TechFlow News, March 6 — According to Jinshi, Alex Tapscott, Managing Director and Portfolio Manager at Canadian alternative investment management firm Ninepoint Partners, said that for Bitcoin to resume its upward momentum, market sentiment first needs to stabilize. Investors have been selling risk assets and flocking to safe-haven assets due to concerns that Trump's proposed tariff plans could reignite inflation, thereby hindering the Federal Reserve's rate cuts this year. Tapscott noted: “Occasionally I can imagine a scenario where equities are flat but Bitcoin performs well. But I can't imagine a scenario where equities crash and Bitcoin performs well.”
He believes Friday’s cryptocurrency summit hosted by Trump is unlikely to trigger significant price movements in Bitcoin. Instead, investors are focusing more on potential legislation that could incentivize broader adoption of cryptocurrencies by mainstream companies and investors. In a phone interview, Tapscott said: “I think over time, the market will start to discount the President's statements. Frankly, I don't think the President or anyone else needs to keep making big announcements. What they need to do is focus on the hard work of building a policy framework that allows this industry to grow and thrive in the United States. I don't know if they'll announce anything along those lines at this event.”
Investors are closely watching whether Congress will pass the bipartisan stablecoin bill introduced last month by Senators Bill Hagerty, Tim Scott, Kirsten Gillibrand, and Cynthia Lummis, which could open the door for more financial institutions to issue their own stablecoins. The bill proposes that financial institutions issuing stablecoins with a market value of $10 billion or more would be regulated by the Federal Reserve, while non-bank issuers of payment stablecoins would fall under the oversight of the Office of the Comptroller of the Currency.
In addition, crypto investors are anticipating SEC approval for more ETFs investing in cryptocurrencies, as well as permission for Ethereum ETFs to stake the Ethereum they hold.
