Bitcoin Hits $60k As SEC Could Approve The First Bitcoin ETF In The US
According to some reports, the U.S. Securities and Exchange Commission (SEC) could approve the first U.S. Bitcoin futures exchange-traded fund (ETF). This was one of the most bullish things predicted by Bitcoin analysts as it could let a larger number of investors get exposure to Bitcoin and the entire cryptocurrency market. Due to this reason, Bitcoin hit $60,000, the highest price since April this year.
Bitcoin ETF Could Be Approved by U.S. SEC
The U.S. SEC could soon approve the first Bitcoin ETF in the United States. People familiar with the matter explained that regulators are not expected to block the ETF from starting to trade just next week. Apparently, one of the main reasons behind the possible approval of a Bitcoin ETF is related to the fact that the proposal by ProShares and Invesco Ltd. offers “significant investor protections.”
The possible approval of the first Bitcoin ETF in the United States comes after 8 years in which different proposals were made in order to expand the cryptocurrency ecosystem. During the last years, Bitcoin ETFs have always been rejected due to the lack of “investor protections.” However, the Bitcoin industry has become an even larger market for retail and institutional investors with larger liquidity and trading volumes.
If approved, the Bitcoin ETF could start its operations for traders as soon as this month. It is also worth noting that Bitcoin ETFs have already been approved in other jurisdictions such as in Canada, the European Union and more. This shows that there is a clear interest for Bitcoin ETFs not only in the U.S. but also from investors worldwide.
After several months in which Bitcoin seemed in a consolidation phase, the largest cryptocurrency in the world hit $60,000 for the first time since April 2021. This price increase is closely related to the approval possibility of a Bitcoin ETF in the coming days. If that happens, the virtual currency could continue moving even higher and, perhaps, test its all-time high close to $64,750.
However, it might also be possible for the ETF to be rejected. If that happens, then we could also see a correction in the cryptocurrency market. Other fund managers such as VanEck Bitcoin Trust, ProShares, Ivesco, Valkyrie and Galaxy Digital have also applied to launch different Bitcoin ETFs in the United States but no decision has been made as of yet.
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