Bitcoin (BTC) $35,000 Surge: What Is the Cause?

Bitcoin’s value surged to $35,000 as significant developments begin to unfold.

Following Grayscale’s legal triumph against the SEC and with the regulator choosing not to contest the outcome, the demand for Bitcoin ETFs has grown.

The SEC Alters Its Stance

JPMorgan and Bloomberg Intelligence have pointed to a high likelihood of a Bitcoin ETF receiving approval by the close of January 2024. Concurrently, SEC Chairman Gary Gensler affirmed that his team is currently evaluating around 8 to 10 separate ETF proposals and engaging with the companies behind them.

Cathie Woods and Mike Novogratz have affirmed this shift in momentum. Both investors have submitted Bitcoin ETF proposals and have noted an uptick in positive discussions with regulators, especially after the Grayscale court case.

These signals suggested the likelihood of either approving or denying ETF proposals in a batch. Nevertheless, an ETF has abruptly emerged within a corporation linked to the stock market, a development singled out by a Bloomberg analyst as a crucial milestone in securing government approval.

iShares Listed by Depository Trust And Clearing Corporation (DTCC)

Bloomberg’s Senior ETF Analyst, Eric Balchunas, recently noted that Blackrock’s iShares Bitcoin Trust is now available on the Depository Trust And Clearing Corporation’s site under the symbol iBTC.

The DTCC, a corporation with close government ties, handles the clearing of NASDAQ transactions. While this listing doesn’t ensure approval from U.S. regulators, it does indicate Blackrock’s strong confidence in the outlook of its proposed fund.

Financial attorney Scott Johnson identified Blackrock’s Bitcoin ETF CUSIP, and he also noted an amendment to Blackrock’s documentation, revealing that the company has initiated the provision of seed capital for the fund.

A CUSIP is a unique identification number assigned to various types of securities, including stocks and bonds, in the U.S. and Canada to differentiate them from one another.

Balchunas recognized Johnson’s discovery while cautioning readers not to jump to hasty conclusions. If Blackrock’s ETF gains approval in the coming weeks, it’s likely that the SEC will make decisions about other ETFs within a similar timeframe.

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