Bloomberg analysts have said that there is a 90% chance for the Spot Bitcoin ETF to receive approval by January 10, 2024. ETF is an acronym for Exchange Traded Fund, and the statement is based on the updates from 21Shares and ARK. Reportedly, it is their application for the same product that is making the rounds among the media community, paving the way for speculation of approval.
Assuming Spot Bitcoin ETF does receive approval, it will signal wide recognition from regulatory authorities. Moreover, it will act as a legitimate catalyst for the mass adoption of Bitcoin as an investment product. As of now, the interest of both firms is being seen as a constructive conversation with the SEC, the US Securities and Exchange Commission.
Other companies that are planning to launch a similar product are Invesco and BlackRock. Such an ETF product is likely to boost the status of Bitcoin across the globe. It will largely assist those who have been exploring Bitcoin as an investment option. The ETF approval also makes it a straightforward mechanism without complexities or security threats.
The effect of this development is evident in the trading price of BTC. The token was last seen exchanging hands at $27,726.80. BTC has been finding it difficult to stay at the resistance mark, let alone cross the much-awaited mark of $30k. The jump of 1.99% in the last 24 hours could be temporary. Hence, all eyes are on the time for which Bitcoin sustains this increase.
Another factor that is boosting the trading price of BTC and speculation of approval is the report that claims that the US government is holding approximately $5 billion in Bitcoin. The revelation has been made by the Wall Street Journal, saying that the holdings came to light after the strategic crackdown on cybercrime and darknet activities.