Summary Bitcoin's recent surge to $100K+ has reignited interest, and the VanEck Bitcoin ETF offers a straightforward, cost-efficient way to gain Bitcoin exposure. HODL owns actual Bitcoin stored in cold storage, providing easy buying and selling through a normal exchange without the complications of direct crypto purchases. The fund has strong liquidity, minimal fees, and a high correlation with Bitcoin, making it a reliable choice for Bitcoin exposure. Technical indicators and recent price action suggest further upside potential, reinforcing HODL as a solid pick for Bitcoin exposure. Bitcoin’s (BTC-USD) run to $100K+ has brought the OG alt-coin back into focus among investors that gave up on it during its 2024 consolidation. I’ve remained bullish on Bitcoin, and it turned out that I was too bullish at times. However, we’ve gotten a breakout to new highs and some follow through, and I still think Bitcoin is going higher . With that in mind, it pays to understand the different ways one can own Bitcoin. With the rise of ETFs that trade like stocks on exchanges, investors have more choice than ever. Today’s article is on the VanEck Bitcoin ETF ( HODL ), a fund that, I think, is an outstanding way to gain exposure to Bitcoin. Let’s dig in. What is HODL? This is a VanEck fund that is beautiful in its simplicity; it owns Bitcoin. There are numerous funds that gain exposure through futures or some other method, but HODL just buys actual Bitcoin and holds it in cold storage. The goal, then, is cost-efficient exposure to Bitcoin through an exchange-traded product, rather than the additional complication of buying Bitcoin through a crypto medium of some time. HODL shares are physically backed by Bitcoin at a qualified custodian, so it does the hard part for investors when it comes to owning Bitcoin. You can simply buy and sell shares of it on a normal exchange. Fund website The fund currently owns nearly 14k Bitcoin to cover its ~$1.4 billion in net assets. If you buy 1,000 shares of HODL, you “own” 1.131 Bitcoin. It’s no more complicated than that. The other thing is that HODL is waving expenses until it either reaches $2.5 billion in assets (currently $1.4 billion), or we get to January 10 th , 2026. Fund website So for now, owning HODL is actually free on this basis. Even after that, the fee is set at a rock-bottom price of 20 basis points, so it’s a very cost-efficient way to own Bitcoin exposure. It also doesn’t try to play any games with leverage or derivatives, which in my view makes it a superior fund to those that derive Bitcoin exposure through some other method than just buying Bitcoin. Of course, HODL has sizable risks. Annualized volatility is very high at 56% currently, and it is likely to remain very high. If you were opposed to a little risk, I suspect you wouldn’t be here, but it’s something to keep in mind. There’s also plenty of liquidity , with about $21 million in average daily dollar volume, so no concerns there. Finally, a fund that says it tracks Bitcoin should have a very high correlation to Bitcoin. As it turns out, HODL is one of the best by this measure. StockCharts This is the 20-day rolling correlation between HODL and Bitcoin itself, and you can see it’s generally in the area of 0.97. That means that, essentially, the two are moving in lockstep with each other. That’s exactly what we want to see, and HODL is delivering on its promise to track Bitcoin. Seen another way, HODL’s percentage moves (not simply correlation) are quite close to Bitcoin as well. StockCharts There have been brief spikes up and down in terms of relative performance, but they’ve quickly been resolved, and the difference between the two is essentially nothing. Again, HODL is doing a great job of tracking Bitcoin. With all of that in mind, let’s take a look at the chart. New highs incoming? That’s what I am looking for, and recent price action seems to suggest we have higher prices coming in. StockCharts We have a very clear breakout of the ~$83 level, which was the previous high in Bitcoin. That gave way to a run to $122, which then saw a consolidation into the $104 area. That’s my line in the sand on HODL for now in terms of downside potential. If we lose that level, we’ll also have lost the 50-day SMA, meaning the uptrend that was in place is no more. That would mark a firm character change, and therefore, my bullishness would need to change as well. For now, all is well with this uptrend. The bull case is strengthened by the momentum indicators as well, with the PPO turning higher right near the centerline, and the Chaikin Money Flow index going positive for the first time in four weeks. Both of these things portend further potential upside, and the fact that these occurred as the fund tested key support near $104 is tremendously bullish. It means buyers showed up right when they needed to and have followed through with ~$11 of upside so far. With all of these factors in mind, HODL looks like a great pick if you want Bitcoin exposure through a stock exchange. It offers ease of buying and selling in any normal brokerage account, no fees for the time being (and minimal fees thereafter), strong liquidity, and virtually no tracking error. It checks all the boxes, and I see it as a terrific way to own exposure to Bitcoin if you’re so inclined.
