{"id":75974,"date":"2023-10-23T18:43:38","date_gmt":"2023-10-23T22:43:38","guid":{"rendered":"https:\/\/ifintechworld.com\/markets\/crypto\/bitcoin-spot-etf-approval-likely-to-trigger-buying-rally-ey-executive\/"},"modified":"2023-10-23T18:43:41","modified_gmt":"2023-10-23T22:43:41","slug":"bitcoin-spot-etf-approval-likely-to-trigger-buying-rally-ey-executive","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=75974","title":{"rendered":"Bitcoin Spot ETF Approval Likely to Trigger Buying Rally: EY Executive"},"content":{"rendered":"
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The surge in demand for Bitcoin among institutional investors is set to hit new heights, particularly if a spot Bitcoin exchange-traded fund (ETF) is approved in the coming months, according to an Ernst & Young executive.<\/p>\n

In a CNBC\u2019s StreetSigns special appearance, Ernst & Young executive Paul Brody stated that institutional investors are now setting their sights on the world\u2019s largest cryptocurrency by market cap.\u00a0<\/p>\n

According to Brody, this has led to a pent-up demand for Bitcoin due to the reluctance of the US Securities and Exchange Commission (SEC) to approve a spot ETF in the last couple of years.\u00a0<\/p>\n

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Putting the demand into context, Brody stated that a whopping $200 trillion in assets under management (AUM) from the \u201cBig Four\u201d asset managers are waiting on the sidelines for a spot ETF approval from relevant authorities.\u00a0<\/p>\n

For now, entering into the crypto space is not feasible until an ETF is given the go-ahead.<\/p>\n

He continued by saying that many investors don\u2019t buy Bitcoin due to its decentralized value transfer potential but rather as an asset. This means more mainstream investors are warming to the idea of becoming exposed to Bitcoin via an ETF in the coming months.\u00a0<\/p>\n

Brody\u2019s comments highlight a growing number of activities in the asset management field in the last couple of months.\u00a0<\/p>\n

A number of top asset managers like BlackRock, VanEck, and Grayscale have shown strong intentions towards offering institutionally-backed Bitcoin trading services via an ETF.\u00a0<\/p>\n

However, the stumbling has been the SEC, which has continued to drag its feet, citing several challenges why a Bitcoin spot ETF might not be in the interest of the general investors.<\/p>\n

Issues surrounding the inability to properly track the Bitcoin price and market manipulation have seen the agency led by Gary Gensler refuse to approve a single spot ETF request in the last two years. But this refusal has not dampened institutional interests one bit.<\/p>\n

GrayScale has recently resubmitted an updated S-3 form registration statement<\/u> with the SEC.\u00a0<\/p>\n

In it, the top crypto asset management firm said it would be listing its GrayScale Bitcoin Trust (GBTC) fund in the New York Stock Exchange Arca once regulatory approval is given.\u00a0<\/p>\n

Spot Bitcoin ETF Imminent\u00a0<\/h2>\n

Paul Brody is not the only one seeing a potential Bitcoin rally due to the pent-up demand for the popular crypto asset.\u00a0<\/p>\n

Jeff Seyffart and Eric Balchunas \u2013 two prominent Bloomberg ETF analysts \u2013 are also paying close attention to the Bitcoin spot ETF saga.<\/p>\n

According to a recent tweet, a spot Bitcoin ETF is imminent. Providing more details, both analysts estimate a 90% likelihood of approval. If their prediction holds, it could pave the way for the launch of a Bitcoin spot ETF within the next 80 days.<\/p>\n

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This 80-day ultimatum puts a likely approval by January 10, 2023, according to Seyffart.<\/p>\n

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In the event a Bitcoin spot ETF is approved, the foremost cryptocurrency could hit a bullish streak in anticipation of strong demand.\u00a0<\/p>\n

So far, Bitcoin has climbed above $30,000 with a strong push towards the $31,000 price range.\u00a0<\/p>\n

This momentary climb is strongly linked to the growing belief that a spot Bitcoin ETF is on the horizon.\u00a0<\/p>\n<\/p><\/div>\n