Cryptocurrency Bitcoin, after briefly surging to $47,000 in trading on the evening of the 8th, has seen its rally stall. The U.S. Securities and Exchange Commission (SEC) is believed to be leaning towards approving the first-ever Bitcoin physically-backed exchange-traded fund (ETF).
As of 8:56 AM Singapore time on the 9th (9:56 AM Japan time), Bitcoin has fallen to $46,770. Its year-to-date gain stands at 10%, in contrast to declines in stocks and gold over the same period. In the cryptocurrency market, there is growing anticipation that a U.S. Bitcoin physically-backed ETF will be approved by January 10th.
On the 8th, companies including BlackRock, Fidelity Investments, and Ark Investment Management submitted amended applications for physical ETFs to the SEC. The SEC is required to take action on at least one application by the 10th of this month, and there is speculation that it may simultaneously issue a series of decisions to avoid giving any one applicant a competitive advantage.
Cryptocurrencies, including Bitcoin, are experiencing a rapid uptick in anticipation of this approval. The outcome remains uncertain, but this trend is one to watch and potentially capitalize on. Results are expected in the coming days.