Grayscale Bitcoin Trust (GBTC) remains the biggest Bitcoin fund available to U.S. investors. As other alternatives continue to appear in the market, the interest in the GBTC has subtly dropped over time. However, according to senior official at Bloomberg, Mike McGlone, GBTC has performed better than Tesla’s stocks.
GBTC Beats Tesla
In 2017, the Grayscale Trust traded at 137% premium during the early ascent of BTC. Due to cheaper alternatives and declining interest, the shares have been trading at a negative premium lately. In the last 24 hours, the GBTC premium has dropped by 14%.
However, a recent analysis by Mike McGlone revealed that GBTC performed better than Tesla’s stock for six months. He said that the Grayscale Bitcoin Trust is “gaining the upper hand.” Tesla is one of the major institutions that have expressed keen interest in in BTC in 2021.
A few months ago, Tesla bought Bitcoin worth $1.5 billion which drove the price even higher. While Bitcoin price may have dipped a bit, Musk had announced that one can now pay for a Tesla car with Bitcoins.
He said such Bitcoin payment will remain in crypto and would not be changed to cash. Crypto market reacted positively to the news as Bitcoin price surged a little.
Will Grayscale Bitcoin Trust be Transformed Into an ETF?
As per Mike’s analysis, GBTC’s performance would likely arouse interest in Bitcoin ETF among Americans. While SEC is yet to approve Bitcoin ETFs, crypto service providers are optimistic that they will soon be approved. There are growing indications that Grayscale may convert the GBTC into a Bitcoin ETF.
Bitcoin price recently took a plunge, sliding down to about $50,000. Following the drop, the price has risen gradually and is now trading around $54,626. Meanwhile, a recent on-chain analysis from IntoTheBlock suggests a huge rise in addresses holding Bitcoin over next year.