Analyst Says SEC’s Language and Tone on Bitcoin Spot ETF Have Changed to “Approval”
Top market analyst Scott Melker is optimistic about the potential approval of a Bitcoin (BTC) spot ETF, implying that a favorable decision is coming.
Melker’s position hinges on the changing conversations on the part of the United States Securities and Exchange Commission (SEC). In his words, the analyst said the “language and tone have changed” in the past few weeks.
The language and tone have changed.
Approval of a Bitcoin Spot ETF is coming. https://t.co/j9zwWg7a1m
— The Wolf Of All Streets (@scottmelker) October 18, 2023
Growing Speculation on the Bitcoin ETF Timeline
The race to launch a Bitcoin spot ETF has been ongoing since at least 2013, when the Winklevoss Twin filed the first application. With the landscape changing considerably over the past decade, there is growing speculation that the SEC is working to approve the product before the end of this year.
Scott Melker’s comments reference a post from crypto market publicist Andrew. The market pundit highlighted that there are conversations within the SEC not to stretch the approval of Bitcoin Spot ETFs into 2024.
This position aligns with projections from industry leaders like Mike Novogratz. An accompanying video of SEC Chair Gary Gensler confirms the agency’s active consideration of the products.
Bitcoin spot ETFs are investment products that track the performance of BTC. These products, as confirmed by Gensler, will bring the asset into compliance as a security and, thus, facilitate their trading on different stock exchanges.
The changing conversation about a Bitcoin spot ETF stems from many factors. Two of the most important include the loss suffered by the SEC in the litigation by Grayscale Investments in its bid to convert its Bitcoin Trust product into a spot Bitcoin ETF.
Additionally, pressure from lawmakers and industry stakeholders has intensified the urgency to get a Bitcoin ETF approved as soon as possible.
Bitcoin Set to Soar
Many market analysts have posited that the approval of a Bitcoin spot ETF might be the catalyst the coin needs to ignite the next bull cycle.
The market recorded a glimpse of this possibility earlier this week with the fake news about BlackRock’s Bitcoin spot ETF application approval.
Drawing on the accompanying short-paced market rally and the generated interest, BlackRock CEO Larry Fink noted that Bitcoin shows a “flight to quality” many investors are waiting to gain exposure to.