According to reports by the famous Asian cryptocurrency news reporter Wu Blockchain, the rumors about the approval of BlackRock’s spot Bitcoin ETF were quickly dispelled amidst social media speculation and market volatility. Earlier today, certain rumours suggested that the Securities and Exchange Commission (SEC) had granted ETF approval for BlackRock, causing Bitcoin’s price to surge by over 10% and briefly approaching the $30,000 mark, as per on-chain data. However, these gains were short-lived, with the market correcting itself.
Cointelegaph reports that the SEC approves the iShares Bitcoin Spot ETF.
— Wu Blockchain (@WuBlockchain) October 16, 2023
Bloomberg analyst James Seyffart said this was fake news, can't find anything that would confirm this at the moment.
BlackRock has just confirmed to FOX reporter that this is false, their application is… https://t.co/ZSqYUCM84D
Eleanor Terret, a reputable news reporter from Fox Business, took to the social media platform X to dismiss the rumours. She stated unequivocally,
BlackRock has just confirmed to me that this [ETF approval news] is false. Their application is still under review.
This wave of speculation coincided with the SEC’s announcement that it would not contest Grayscale’s court ruling. The ruling mandated the SEC to reconsider Grayscale’s proposal to transform its flagship GBTC fund into a spot Bitcoin ETF. Although viewed as a positive development in the path toward Bitcoin ETFs, it does not guarantee approval.
The SEC continues to play a pivotal role in the Bitcoin ETF approval process, emphasizing its cautious approach and commitment to investor protection and market stability. Last month, the SEC initiated additional proceedings to assess proposed spot BTC ETFs from major players such as BlackRock, Invesco, Valkyrie, and Fidelity. This move introduced an additional layer of review, potentially extending the ongoing deliberation for at least another month.
SEC’s careful stance is rooted in concerns about market manipulation and the necessity of robust safeguards before granting approval for Bitcoin ETFs. Currently, the regulator’s decision remains uncertain, underscoring the need for patience and prudence within the investment community.
Most recently Crypto expert Crypto Rover expressed confidence that the spot ETF proposed by BlackRock will receive approval soon. The approval of the ETF may lead to a surge in Bitcoin prices, potentially pushing it to as high as $200,000. BlackRock has a track record of approving ETFs with a success rate of 99.8%, with only one rejection in its history.
