Bitcoin reversed an earlier gain of as much as 10% after BlackRock said its application for an exchange-traded fund investing directly in the cryptocurrency was still under review.
“The iShares Spot Bitcoin ETF The filing is still under review by the SEC,” a spokesperson said. Bitcoin rose about 3% to $28,000 at 10:12 a.m. in New York on Monday, after a brief jump to $30,000.
There was speculation on social media that BlackRock, which filed for a spot Bitcoin ETF in June, was given the green light by the US Securities and Exchange Commission to launch the first such product in the US. That fueled the biggest coin’s rise, although Bitcoin quickly reversed most of those gains after the rumor was debunked.
Still, the episode suggests there is still a lot of excitement and hope for a spot Bitcoin product in the US, which regulators have refused to allow in the past. They have previously cited market manipulation, among other things, for not granting approval. However, the incident also reminds us that Bitcoin’s price can easily be influenced by gossip or rumors.
There are currently more than a dozen signups for spot Bitcoin ETFs, with industry heavyweights like BlackRock and Invesco joining the race. Some analysts suspect that the chances of approval this time may be higher given their participation in the race.
Another factor influencing analysts’ predictions about whether a spot Bitcoin fund will launch soon is Grayscale’s win over the SEC, as the crypto asset manager attempts to sell its $16.7 billion Bitcoin Trust – known as GBTC – into an ETF. On Friday, the U.S. Securities and Exchange Commission declined to appeal an earlier positive court ruling for Grayscale, which many analysts saw as yet another positive step toward the approval process.
“That was over 30 minutes of fun and games,” Teong Hng, CEO of crypto investment firm Satori Research, said of Monday’s roundabout.
“The iShares Spot Bitcoin ETF The filing is still under review by the SEC,” a spokesperson said. Bitcoin rose about 3% to $28,000 at 10:12 a.m. in New York on Monday, after a brief jump to $30,000.
There was speculation on social media that BlackRock, which filed for a spot Bitcoin ETF in June, was given the green light by the US Securities and Exchange Commission to launch the first such product in the US. That fueled the biggest coin’s rise, although Bitcoin quickly reversed most of those gains after the rumor was debunked.
Still, the episode suggests there is still a lot of excitement and hope for a spot Bitcoin product in the US, which regulators have refused to allow in the past. They have previously cited market manipulation, among other things, for not granting approval. However, the incident also reminds us that Bitcoin’s price can easily be influenced by gossip or rumors.
There are currently more than a dozen signups for spot Bitcoin ETFs, with industry heavyweights like BlackRock and Invesco joining the race. Some analysts suspect that the chances of approval this time may be higher given their participation in the race.
Another factor influencing analysts’ predictions about whether a spot Bitcoin fund will launch soon is Grayscale’s win over the SEC, as the crypto asset manager attempts to sell its $16.7 billion Bitcoin Trust – known as GBTC – into an ETF. On Friday, the U.S. Securities and Exchange Commission declined to appeal an earlier positive court ruling for Grayscale, which many analysts saw as yet another positive step toward the approval process.
“That was over 30 minutes of fun and games,” Teong Hng, CEO of crypto investment firm Satori Research, said of Monday’s roundabout.
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