The US Securities and Exchange Commission is expected to either approve or reject all applications for the Spot Bitcoin ETF on January 10, 2024. The community has been waiting for the moment since 2023; however, many members anticipate that this could be the ultimate deadline. The assumption is based on the involvement of big names like BlackRock and Fidelity. They, too, have filed an application with the Commission for the ETF.
With the date clarified, the timeline is less than 30 days, with expectations that all applications will be approved together. This is expected to give investment in Bitcoin a formal structure and make it a greater part of traditional finance. ARK Investment and 21Shares were among the first to file the application and are now seeking regulatory blessing.
Getting a green light from the authorities will boost the price of Bitcoin. Thereby, passing the momentum to other tokens as well. The entire sphere is recovering from the crypto winter that started with the fall of FTX. Things have only been on the crypto market’s downside since most investors have either withdrawn their funds or brought down their investments.
Analysts estimate that approving the Spot Bitcoin ETF could open the doors for a market that could be worth approximately $100 billion.
Vetle Lunde from K33 has said that past periods have come closer to the institutionalization of Bitcoin, but they have not been anywhere near something that is happening in 2023. This could be a hint at the involvement of a larger number of fund managers, waiting to gain access to make investments for their clients for a higher yield.
There is a lot of positivity surrounding Bitcoin since it is way above the $40k mark. The token was last seen exchanging hands at $41,090.23, with a decrease of ~2.16% in the last 24 hours. Bullish sentiments refuse to fade away because the current value is still up by 13.07% in the last 30 days and 145.11% in the last year. Bitcoin future price estimates that the token could close the year at around $57,000. Assuming that holds true, the token will then be set to achieve its ATH by the end of 2024.
Dan Morehead, the managing partner at Pantera Capital, has highlighted that institutional adoption has accelerated with the involvement of Fidelity and BlackRock, along with Bitwise.
Dan has further compared the international gold ETF and US gold ETF, which happened in 2003 and 2004, respectively, saying that it brings a new channel for traditional capital flow into digital gold.
The market cap of Bitcoin is down by 2.08%, and the 24-hour volume is up by 36.20%. Just as the trading value is poised to climb the ladder, sights are also on the market cap to surpass $1 trillion.