A moment that the Bitcoin community had been waiting for years could finally happen on January 10, 2024. The US Securities and Exchange Commission will likely approve all the Bitcoin ETF applications on that day. If approved, the community members will have a more structured format to invest their funds in the cryptocurrency.
The race to get approvals is evident from the fact that the SEC has started accepting filings for Bitcoin ETFs, with major asset managers submitting 19b-4 amendments. Companies that are in the race to receive approval are BlackRock, Fidelity, and Grayscale.
There is speculation that the Commission may eventually approve all applications together. This is aimed at avoiding the first mover’s advantage. Plus, the community will have a larger choice in selecting their preferred asset manager.
Another step that has been termed crucial is companies filing S-1 amendments.
Previously, it was speculated that the SEC might approve applications before January 10, 2024. That eventually changed to January 10, 2024, with sources claiming that clearances could come as late as this year. On that basis, the second quarter has been identified as the next beneficial time frame.
On January 10, 2024, however, the community will be confronted with the reality of the situation. However, speculation has begun to operate as intended. Bitcoin has recovered from the recent market collapse; as of the writing of this article, it has surpassed the $46,000 milestone.
More specifically, Bitcoin is currently being traded at $46,745.70, representing a 24-hour increase of 7.12%. Additionally, the BTC price illustrates an increase of 3.41% and 5.46% over the past 7 and 30 days, respectively, amidst the Bitcoin ETF approval anticipation.
Surprisingly, not a lot of financial advisors based in the US expect Bitcoin ETF applications to go through this year. According to a Bitwise survey, 39% of US-based financial advisors anticipate that approval in 2024. Out of the total, 87% expect approvals to happen eventually, no matter when they happen.
Bitcoin ETF does not have everyone’s approval. Dennis Kelleher has signaled that moving forward with the approval of applications will potentially pave the way for an increase in market manipulation and fraud. The CEO of Better Markets has said that investors’ funds will be at risk of being drained, further stating that protecting investors from fraud and manipulation is precisely what the SEC is here to do.
A report by Matrixport has also hinted that the Commission may not approve applications on January 10, 2024, as many applicants have failed to meet the requirements. The report has cited that approval could happen by the second quarter of 2024. Kelleher’s approach is on a different line but in the same direction.
Asset managers wait for their fate on January 10, 2024, the date when the SEC is likely to give a final judgment about Spot Bitcoin ETF applications.
Source: https://www.cryptonewsz.com/anticipation-starts-building-up-for-bitcoin-etf-approval/