The post Bitcoin’s Rally Soars as Spot ETF Anticipation Grows with the Entry of New Market Players appeared first on Coinpedia Fintech News
Bitcoin is experiencing a recovery rally due to the possibility of a batch approval for Bitcoin Spot ETFs looms large in January. A renowned Bloomberg ETF analysis Eric Balchunas divulged key insights into the updated application from asset manager BlackRock.
New Player Enter in Bitcoin Spot ETF Arena
The Bitcoin Spot ETF race intensifies with the addition of new players, bringing the total number of issuers to 13.
On November 29, Pando Asset filed with the Securities and Exchange Commission (SEC) a Form S-1, which is an important step for its offering of cryptocurrency Exchange-Traded Products (ETPs), as per Coinpedia news report.
Using Coinbase as the custodian, the proposed Pando Asset Spot Bitcoin Trust will trade on the Cboe BZX Exchange, reflecting Pando’s strategy of entering the U.S. market as a foreign company.
BlackRock’s Revised Model
Eric Balchunas, a Bloomberg ETF analyst, sheds light on BlackRock’s meeting with the SEC’s Trading and Markets division, where a revised in-kind model design was presented.
Meanwhile, the ongoing debate with regulators over cash creation versus in-kind delivery continues, shaping the landscape for potential Bitcoin Spot ETF approvals. The anticipation for Bitcoin Spot ETFs has spurred a market rally, impacting both spot and futures markets.
Market Pro-Active Reaction
The market responds to the Bitcoin Spot ETF anticipation with a surge in both spot and futures markets. Perhaps the overall excitement contributed to a rally in Bitcoin prices, resulting in $8.94 million in short liquidations overnight.
On Tuesday, ProShares Bitcoin Strategy ETF (BITO) assets under management reached a record high of $1.47 billion. A year after launching in October 2021, Bito had over $1 billion in assets. It reached $1.42 billion in assets a month later.
In addition, Grayscale Bitcoin Trust’s GBTC has proposed two key amendments to the trust’s agreement. Its goal is to prepare for the launch of an exchange-traded fund (ETF) that tracks spot Bitcoin.
BTC Aims $40,000
Crypto analyst Crypto Tony provides technical insights into Bitcoin’s price chart, projecting a potential rally to $40,000. According to Tony, sustained demand from market participants could push BTC prices even higher after breaking through the $40,000 level.
However, a correction is anticipated, with the price potentially dropping to $36,000 following the initial surge.
#News [Source: Coinpedia]