US Securities and Exchange Commission Reportedly Approves Spot Bitcoin ETF
According to recent reports, the US Securities and Exchange Commission (SEC) has given the green light to a spot Bitcoin exchange-traded fund (ETF). Although the news is still uncertain, Bitcoin’s price immediately surged to around $30,000 in response.
Historical Delays and Rejections of Spot ETF Applications
For nearly a decade, the SEC has consistently delayed and rejected spot Bitcoin ETF applications. Despite hopes being raised earlier this year when BlackRock, the world’s largest asset manager, filed to launch such a project, the SEC has yet to make a final decision on BlackRock’s application and others that followed.
News of Approval Causes Price Surge
On October 16, reports emerged that the SEC had finally approved a spot Bitcoin ETF for US citizens. This news prompted an immediate surge in the price of Bitcoin. Although it had already reached $28,000 earlier in the day, the anticipation of approval drove it up by an additional $2,000. As a result, Bitcoin briefly reached its highest price in over two months at just under $30,000. However, the price has since retraced by approximately $1,500 as the news awaits confirmation.
Update: Rumors Declined by Outlets and Price Falls
Shortly after the initial reports, several outlets dismissed the rumors. BlackRock was among the first to do so, stating that their iShares spot Bitcoin ETF proposal is still under review. Consequently, the price of Bitcoin fell further and returned to around $28,000.
Hot Take: Uncertainty Surrounds Spot Bitcoin ETF Approval
The potential approval of a spot Bitcoin ETF by the US Securities and Exchange Commission has generated significant excitement in the crypto market. However, the news remains unconfirmed, leading to fluctuations in Bitcoin’s price. Investors should exercise caution and closely monitor updates from reliable sources to stay informed about the development of a spot Bitcoin ETF.
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