The regulators are ready to offer a landmark that is ruling over the first ever Bitcoin ETF (exchange-traded fund) which could take the crypto market high to billions of dollars of inflow.
It’s more than seven months of reviewing the VanEck Bitcoin ETF. The SEC has to now approve it or reject it by 14 Nov 2021.
Seminal Event
The Investors have labeled the spot or physically-backed, bitcoin ETF as the “seminal event” exclusively for BTC and for cryptocurrency market, with a hope that it will amplify the market rally and will send bitcoin’s more than $100,000 before the year end.
Bitcoin has grown up high more than 300 per cent for last year. Thereby reaching the all-time high rate of $68000 on Wednesday, but has also swung enthusiastically in recent months.
The volatility of market has been driven extensively by key news in crypto space. Along with announcement of Tesla to accept BTC as the form of payment which is earlier this year. It also driving the rally, prior to reversal of the decision which is well combined with suppression on cryptocurrency of China caused the significant crash.
Spot Bitcoin ETF approval
The consent of the spot bitcoin ETF is also a bigger news for market as compared to the bitcoin futures ETF. Since, the fund upholds custody of cryptocurrency and offers the investors with exposure of direct bitcoin. While even providing regulatory protection to the traditional investors.
ETF and Bitcoin!
ETFs can be quite bullish for bitcoin. It allows many institutional investors to simply invest their huge money in bitcoin through accessible investment vehicle. Though, this could also be a dicey task having high volatility. The negative verdicts can lead to turmoil in futures market and also new leaps of liquidations. However, positive verdict, can lead to opposite scenario.
