Experts said the SEC could be laying blocks ahead of spot Bitcoin ETF approvals in early January 2024 following early delayed decisions on bids from two potential issuers.
The U.S. Securities and Exchange Commission (SEC) delayed its decision to approve or disapprove spot Bitcoin ETF applications submitted by trillion-dollar asset manager Franklin Templeton and crypto-native firm Hashdex.
Per Nov. 28 filings, the SEC is seeking new commentary for its review of these Bitcoin ETF punts. The news came after America’s securities watchdog disclosed its plan to extend the period for public input back in mid-November 2023.
A decision on both filings was due Jan. 1, 2024, meaning that the SEC published its delay order weeks before the deadline.
ETF expert James Seyffart said this early update could be an indicator that the SEC is synchronizing applications ahead of sweeping approvals for all 12 issuers including BlackRock and Grayscale.
The likely approval date remains slated for January’s first few weeks. Notably, these predictions are educated guesses based on the SEC’s procedures and do not reflect an iron-clad timeline for a decision.
Despite the news, Bitcoin (BTC) was up 3% at press time and exchanged hands above $38,000 on crypto exchanges like Binance. The token’s price has experienced three consecutive green months on the back of bullish sentiment surrounding spot Bitcoin ETFs.
Joshua Lim, former head of derivatives at Genesis, noted that institutional players are taking long positions ahead of a potential SEC approval.