- BlackRock Inc, the world’s largest asset manager, has applied for a spot Bitcoin exchange-traded fund (ETF).
- Despite the SEC’s rejection of ETF proposals, BlackRock has chosen to reapply and introduce revised regulations to their proposals.
- The insistence of these major firms on approving a Bitcoin ETF could inspire a further bullish sentiment for Bitcoin.
After the SEC returned spot Bitcoin ETFs due to their incompleteness, the rapid reapplication of firms strengthens the bullish sentiment in Bitcoin.
BlackRock Launched an ETF Race in June
In mid-June, BlackRock Inc, the world’s largest asset manager, applied for a spot Bitcoin exchange-traded fund (ETF), initiating a wave of optimism among other funds and the general cryptocurrency markets.
Following BlackRock’s ETF application, many other firms took the same step, coinciding with the rally in the cryptocurrency market. However, BlackRock’s expectations were later rejected by the SEC, stating that the applications were insufficient and lacked necessary information along with other applicants.
Despite the SEC’s rejection of ETF proposals, BlackRock chose to reapply and introduce revised regulations to their proposals. In the new version, BlackRock resubmitted their application using Nasdaq as the platform. This reapplication included additional details stating that Coinbase would provide market surveillance services for the ETF.
BlackRock is not the only firm reapplying for an ETF. Following the SEC’s indication of insufficient applications, Fidelity Investments began the reapplication process for a spot Bitcoin ETF, including additional details. In addition to Fidelity, companies involved in this initiative include Invesco, VanEck, 21Shares, and WisdomTree. These companies, among a total of eight firms, aim to launch the first wave of spot Bitcoin ETFs in the United States.
Notably, all five applying firms have now included the information that Coinbase will provide market surveillance support for their funds. This detail was previously omitted and is similar to BlackRock’s approach.
What’s the Situation with Bitcoin?
The insistence of these major firms on approving a Bitcoin ETF could inspire a further bullish sentiment for Bitcoin. According to Santiment’s data, negative sentiments around BTC have gradually decreased in the past few weeks. During the same period, BTC’s price has increased and is currently trading at $31,030.
Despite the price increase of BTC, the number of BTC holders has decreased. This indicates that the price increase in BTC is driven by old addresses attempting to accumulate larger amounts of BTC.
