The approval of a Bitcoin ETF is currently seen as a holy grail to bring the bull back into the crypto market and flood the market with fresh capital. In the next 2 months, the SEC will decide on a total of 9 Bitcoin ETF applications, so the hype could continue.
The US Securities and Exchange Commission (SEC) will decide the fate of some Bitcoin ETF applications over the next 2 months. As we already reported, the final decision date of the VanEck Bitcoin ETF has been postponed to 30.09.2018. This triggered a veritable panic wave in the crypto market, which led to an outflow of nearly $ 30 billion.
In the first part of 2018, further applications were filed with the SEC. These include submissions from ProShares, Direxion, and GraniteShares. This puts a total of 10 bitcoin-related fund applications on the table of SEC officials.
It should be noted, however, that the Bitcoin ETF VanEck / SolidX is the only application that actually buys “physical” Bitcoin and is therefore expected to see a big upturn for the bitcoin/crypto market.
The decision for two funds of ProShares will be made on 23.08.2018. The final date for two GraniteShares funds is scheduled for 15/09/2018. The four application funds of Direxion to be confirmed or rejected on 21.09.2018.
The investment firm Canaccord stated in a recent report that it is very unlikely that a Bitcoin ETF will be approved in the US later this year. The approach of the SEC is conservative and cautious, as it must be in an emergency for their decisions straight.
Meanwhile, Bitcoin expert Brian Kelly says that from an investor’s point of view, it’s definitely wrong to sell the bitcoin holdings just because the SEC has postponed the decision to buy a Bitcoin ETF. This seems to have happened in the last few days. Kelly further claims that the market is not ready for a Bitcoin ETF and the SEC is likely to postpone the decision in his opinion:
“Bitcoin had an incredible run of $ 5,800, and that was all because people thought there would be a Bitcoin ETF. The SEC came out and delayed this decision. A small spoiler alert, SEC on September 30 is likely to put off again because the market is not ready and the SEC still has no answers to their questions.”
Whether Kelly is right with his prognosis, can only be seen in the next few days. Bitcoin ETFs have led to a true hype and expected cash rain in recent weeks. Nevertheless, the focus should be on the technology itself, as well as the spread in the population, because only then can cryptocurrencies, such as Bitcoin prevail in the long term.