Bloomberg Analysts Adjust Chances of Bitcoin Spot ETF Approval
Bloomberg analysts have revised their predictions for the approval of a Bitcoin spot ETF, reducing the likelihood of it failing from 10% to just 5%. While there are still potential obstacles in the way, such as new challenges filed by the SEC, court orders being ignored, or intervention from the Biden administration, the ETF is expected to be given the green light next week.
In response to a follower’s question about the consequences of a 10% failure probability for BTC spot ETFs, Bloomberg analyst James Seyffart outlined three potential scenarios. The first scenario involved Ark Invest withdrawing, but this outcome is considered unlikely. The second scenario addressed Gary Gensler potentially overstating the issue, causing the SEC to refuse to advance or ignore court orders, which would result in the matter being sent back to court. However, this scenario also seems improbable. The third scenario suggested the Biden administration intervening to halt the approval process, but this is deemed unlikely as well.
Eric Balchunas, another Bloomberg analyst, agreed with Seyffart’s assessment but suggested that the probability of failure might actually be closer to 5% at this point. He emphasized the importance of keeping a small window open for such possibilities.
It has been reported that executives at BlackRock are anticipating the approval of Bitcoin Spot ETFs on Wednesday of next week. As always, it’s important to note that this information is not to be taken as investment advice.