Analysts Predict That US Approval of the Spot Bitcoin ETF Will Be a Driving Factor for Bitcoin’s Further Rebound. This is similar to the approval of the first gold ETF in November 2004. This makes it more convenient for investors to invest in gold by simply purchasing ETFs without having to hold it directly. and makes gold become one of the assets that investors choose to diversify their investments.
The launch of gold ETFs in 2004 led to a large number of orders entering the market. and caused the price of gold to surge from less than $500 an ounce to nearly $2,000 an ounce in just 8 years.
Chris Weston, head of research at Pepperstone Group, said there is currently no indication that the Sell on Fact phenomenon will occur once approved by the U.S. Securities and Exchange Commission (SEC).
Furthermore, Mr. Weston said that Technical factors indicate that Bitcoin will rebound to $51,000 before collapsing as investors take profits.
Bitcoin fell today. After surpassing $47,000 for the first time since April 2022 This is driven by speculation that the SEC may approve the creation of a Bitcoin Spot ETF this week.
Bitcoin is now up 173% over the past 12 months and 10% since the start of 2024, bucking declines in the stock market and gold.
According to Coinswitch, Bitcoin’s surge has pushed the cryptocurrency market to over $1.8 trillion.
Many firms have reduced trading fees for Spot Bitcoin ETFs to capture market share. While there is currently no approval for the creation of a Bitcoin Spot ETF,
Announcing a reduction in trading fees for Spot Bitcoin ETFs from various companies. It is a sign of confidence that the SEC will soon approve the creation of a Bitcoin Spot ETF.
Thirteen companies have filed Form S-1s expressing their intent to establish Bitcoin Spot ETFs with the SEC, including:
Grayscale Bitcoin Trust, Ark/21Shares Bitcoin Trust, Bitwise Bitcoin ETF Trust, BlackRock Bitcoin ETF Trust, VanEck Bitcoin Trust, WisdomTree Bitcoin Trust, Valkyrie Bitcoin Fund, Invesco Galaxy Bitcoin ETF, Fidelity Wise Origin Bitcoin Trust, Global X Bitcoin Trust, Hashdex Bitcoin ETF, Franklin Templeton Digital Holdings Trust and Pando Asset Spot Bitcoin Trust
The ARK 21Shares Bitcoin ETF has lowered its fees from 0.80 to 0.25%, while BlackRock’s fees are 0.30%, VanEck’s are 0.25% and Grayscale’s are capped at 1 ,5%.
If the SEC approves the creation of a Spot Bitcoin ETF, it will give investors who purchase the fund the ability to invest in bitcoin without having to hold it directly. and will spark interest among institutional investors After previously avoiding investing in Bitcoin This is due to concerns that Bitcoin is an asset lacking regulatory oversight from regulators.
Companies interested in creating a Bitcoin Spot ETF have a deadline of January 8 to review filings with the SEC, while the SEC’s deadline is tomorrow (January 10) to announce the results of the approval or disapproval review. of various forms of various societies. which has filed a statement of intent with the SEC
Additionally, the SEC is required to approve or disapprove platform 19b-4 forms. who want to register to trade the Spot Bitcoin ETF in the next few days
The SEC will require approval of Forms S-1 and 19b-4 before the Spot Bitcoin ETF can be traded on the market.
SEC officials held a meeting Jan. 3 with officials from the New York Stock Exchange, Nasdaq and the Chicago Board Options Exchange, all three exchanges where ETFs trade.
The meeting led to widespread speculation that the SEC would soon approve the creation of a Bitcoin Spot ETF.
Analysts are confident that the SEC will approve the creation of a Bitcoin Spot ETF by January 10, 2024, which would be the first such approval in the United States.
Bitcoin is up more than 150% over the past year, outperforming the U.S. stock market, where the S&P 500 Index is up just 24%.
Furthermore, analysts expect Bitcoin to continue its upward trend. One positive factor was the Federal Reserve (Fed) sending a signal to cut interest rates this year. Including the Bitcoin Halving phenomenon, which is expected to occur between March and May 2024.
Standard Chartered Bank had previously published a report predicting that Bitcoin will reach $120,000 by the end of 2024.
2024-01-09 14:28:40
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