“BlackRock’s BTC ETF removal from DTCC list casts a shadow on Bitcoin’s pursuit of $35K, highlighting the volatility and challenges faced by the cryptocurrency market.”
The recent disappearance of BlackRock’s Bitcoin ETF from the DTCC website has caused a decline in Bitcoin’s value. The ETF, which was expected to be the first of its kind, had generated significant excitement in the cryptocurrency community. However, its removal from the DTCC website has raised concerns about its approval status.
Bloomberg analyst Eric Balchunas noted that BlackRock’s initial listing on the DTCC website was a promising sign, suggesting that approval was imminent. This coincided with a surge in Bitcoin’s value, fueled by optimistic expectations of a Bitcoin ETF approval by US regulators. Bitcoin briefly surpassed the $35,000 mark but has since dropped to around $34,000.
The disappearance of the ETF from the DTCC website has led to speculation that the SEC may have intervened. Balchunas speculated that BlackRock may have been instructed to postpone the launch until it is just days away. BlackRock has refrained from commenting, citing regulatory restrictions.
The SEC has yet to approve a spot Bitcoin ETF, and the recent developments with BlackRock’s ETF add to the uncertainty surrounding its approval. However, there are indications that BlackRock may be preparing for Bitcoin purchases this month, suggesting that they are still moving forward with their ETF plans.
In addition to BlackRock’s ETF, the SEC is also reassessing Grayscale’s application for a spot Bitcoin ETF following a mandate from the US Court of Appeals. This puts the SEC in a crucial position, where they must decide whether to approve Grayscale’s ETF or provide new reasons for its denial.
The open interest in Bitcoin futures on the Chicago Mercantile Exchange (CME) has surged to an unprecedented $3.4 billion. This indicates growing interest and engagement from institutional investors in Bitcoin.
Overall, the disappearance of BlackRock’s Bitcoin ETF from the DTCC website has caused a temporary decline in Bitcoin’s value and raised questions about the approval status of a spot Bitcoin ETF. The SEC’s decision regarding both BlackRock’s and Grayscale’s ETF applications will be crucial for the future of Bitcoin and its acceptance in the mainstream financial industry.