Bitcoin Price Surge as Spot Bitcoin ETF Decision Draws Closer

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The price of flagship cryptocurrency Bitcoin (BTC) has jumped significantly with only about one week away from receiving a decision from the United States Securities and Exchange Commission (SEC) on spot Bitcoin ETF applications made by asset management firms. 

According to data from CoinMarketCap, Bitcoin is on positive momentum and is currently trading at $45,249.41 with a 6.92% increase within the last 24 hours.

Undoubtedly, this is the first time the coin has reached this level since April 2022. The price gain was probably triggered by the assumption that the SEC will likely inform all fourteen ETF filers that have met the agency’s requirements of its approval by Tuesday or Wednesday.

Bitcoin ETF Filers Submit Final Amendment 

The crypto community is quite positive that all of the asset managers that met up with the SEC’s end-of-the-year deadline will likely launch their Bitcoin ETF by January 10, the window for the spot Bitcoin ETF proposed by Ark Investments and 21Shares. A few of the filers that may make the list are Invesco Galaxy, Valkyrie, WisdomTree, Bitwise, Franklin Templeton, BlackRock, and VanEck.

Almost all of the aforementioned firms submitted the final amendment of their Bitcoin ETF S-1 filing right before the deadline stipulated by the SEC. Asset managers like Invesco Galaxy, Bitwise, WisdomTree, and Fidelity joined the rush at the very last minute before the deadline was off.

SEC Potential Approval Triggers BTC Price Jump 

All of this buzz about Bitcoin ETF is believed to be the driver behind the skyrocketing price gain of the underlying cryptocurrency. Justin d’Anethan, head of APAC business development of crypto market maker Keyrock confirms that the price movement could not be attributed to any other activity on the macro side, rather it is a crypto-related sentiment. 

“In this case, we’ve had news of Blackrock, Fidelity, and other spot bitcoin ETF applicants confirming names of the brokers that would support their BTC operations (so far: Jane Street, JP Morgan, Cantor Fitzgerald),” d’Anethan said. He went on to state that such news “solidifies the current narrative that ETFs are coming and they’re coming soon.”

Bitcoin to Reach $50,000

While the current price of Bitcoin is exciting for investors, many industry experts opine that the coin still has enough ‘room for improvement.’ 

Matrixport head of Research Markus Thielen projects that Bitcoin will reach $50,000 levels before the end of this week. He acknowledged that the Bitcoin funding rate is growing steadily, reaching new highs.

“This is how the futures market is squeezing the spot market and will likely lift bitcoin above our $50,000 target level for January 2024, which appears reasonably achievable,” Thielen said.

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