- BlackRock is expecting approval for its proposed Bitcoin spot ETF on the 10th of January.
- The chances of rejection of the ETFs dropped from 10% to 5%, per an analyst.
The coming week might turn out to be historic for cryptocurrencies, as the U.S. Securities and Exchange Commission (SEC) was set to pronounce a decision on the spot Bitcoin [BTC] exchange-traded funds (ETFs) applications.
BlackRock expects approval on this day
Amidst the hype and anticipation, BlackRock, the world’s largest asset manager, remained optimistic about its chances. According to a report by Fox Business, the TradFi giant was expecting an approval on the 10th of January.
BlackRock submitted a request to the SEC for an ETF tied to the spot price of Bitcoin in June last year, encouraging other TradFi firms to drop their hat in the ring as well.
The filing by a company, with more than $9 trillion in assets under management (AUM), has been widely seen as the best indication of growing institutional interest in Bitcoin and cryptos in general.
Indeed, the market erupted in jubilation with Bitcoin rising 25% in a week following BlackRock’s submission at that time, AMBCrypto noticed using CoinMarketCap’s data.
As of this writing, most formalities linked to the ETF applications have been completed. After this, the SEC is expected to officially start clearing the ETFs.
Meanwhile, the chances of rejection for the ETFs dropped from 10% to 5%, according to Bloomberg ETF analyst Eric Balchunas.
The probable reasons for rejection, including President Biden’s intervention and SEC coming up with new reasons, were deemed unlikely.
Read Bitcoin’s [BTC] Price Prediction 2023-24
Bitcoin spikes above $44,000
These developments continued to provide a bullish impetus to BTC. The king coin surged over 44,000 in the last 24 hours.
Moreover, the number of long positions taken for the world’s largest digital coin increased, as per AMBCrypto’s analysis of Coinglass’ data. The higher number of bullish leveraged bets vis-à-vis bearish ones, reflected confidence in Bitcoin.