Bitcoin shoots up to $25,000 after The Nasdaq clearing firm now lists BlackRock's spot Bitcoin ETF.
Bitcoin surged more than 10% to reach its highest levels in over a year and a half on Monday, with stocks tied to the cryptocurrency sector also witnessing gains. The excitement surrounding the potential approval of a Bitcoin exchange-traded fund (ETF) led to a surge in optimism and prompted short-sellers to exit their positions. Bitcoin's price was last seen at $34,133 after reaching a peak of $35,098.
The iShares Bitcoin spot exchange-traded fund (ETF) proposed by BlackRock, an investment firm, has been listed on the Depository Trust & Clearing Corporation (DTCC), indicating possible approval by the United States Securities and Exchange Commission (SEC).
Bloomberg ETF analyst Eric Balchunas mentioned in an Oct. 23 Twitter thread that the DTCC listing is a crucial step toward launching a crypto ETF. The iShares ETF, with the ticker symbol IBTC for potential listing on the Nasdaq stock exchange, had applied to list and trade its shares in June. This marks the first spot ETF listed on DTCC, a significant development given that others are not there yet. Balchunas suggested that BlackRock might have received approval from the SEC or is preparing for it. BlackRock's application has a deadline of January 10, 2024, for the SEC to make a final decision. If approved, it could pave the way for several other spot crypto ETF applications under SEC review, including those from ARK Investment, Fidelity, and Valkyrie. While the SEC has not yet approved spot Bitcoin or Ether applications for U.S. exchange listing, it started permitting investment vehicles linked to Bitcoin futures in October 2021.
The BTCC listing follows a U.S. appellate court's mandate that enforces the SEC's review of a spot BTC ETF application from Grayscale Investments, which aims to list shares of its Bitcoin trust on the New York Stock Exchange Arca under the ticker symbol GBTC.