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CoinTelegraph ‘tweet hoax’ shows spot ETF is the ‘only one game’ in crypto market: QCP

CoinTelegraph ‘tweet hoax’ shows spot ETF is the ‘only one game’ in crypto market: QCP

The CoinTelegraph tweet that falsely indicated US regulators approved a spot exchange-traded fund tied to bitcoin shows the extent to which the launch of such a product is driving activity in the market, trading firm QCP noted in a recent update to counterparties.

The price of Bitcoin experienced a significant surge last week after the crypto media firm posted on X (formerly known as Twitter) that the SEC had approved the spot Bitcoin ETF application from the asset management giant BlackRock.

BlackRock’s application, submitted in June, came as a surprise and added to the list of firms aspiring to launch a similar product. The SEC has been reluctant to approve spot ETFs, expressing concerns about market manipulation in the underlying spot exchanges.

Only game in town

Still, a spot ETF tied to bitcoin could soon be a reality, with JPMorgan analysts expecting approval of multiple products “within months.”

According to QCP, CoinTelegraph’s erroneous tweet highlights the broader anticipation of a spot ETF within the market.

The firm stated, “Monday’s Cointelegraph Spot ETF tweet hoax proves that there’s currently only one focal point in the crypto world – the BTC spot ETF.”

Furthermore, they added, “The more than $2000 spike and reversal in BTC on the fake news showed the strong anticipation of the industry towards this event.”

In contrast to JPMorgan, QCP does not anticipate “actual SEC approval for any application or conversion to take place this year.”

The firm concluded by stating, “which means the larger BTC trend below 25k or beyond 32k is beholden to macro winds for the rest of Q4.”

theblock.co