BTC is trading at its highest level since last May as researchers tip that the highly anticipated spot Bitcoin exchange-traded fund from the world\u2019s largest asset manager, BlackRock, may be seeded this month.<\/p>\n
On Oct. 23, Scott Johnson, a finance lawyer, flagged<\/a> that an updated BlackRock filing indicated the firm may move to seed its iShares Bitcoin Trust with cash this month. Eric Balchunas, senior ETF analyst at Bloomberg, said the filing indicates BlackRock expects to launch the fund in the near future.<\/p>\n \u201cSeeding an ETF is when initial funding is provided\u2026 to purchase a few creation units (in this case bitcoin) in exchange for ETF shares which can be traded in [the] open market on day one,\u201d Balchunas tweeted<\/a>. \u201cSeeding is typically not a lot of money, just enough to get [an] ETF going\u2026 the fact they doing it and disclosing it shows another step in the process of launching.\u201d<\/p>\n Balchunas also noted<\/a> that the ETF was also listed on the Depository Trust & Clearing Corporation, which clears trades executed on the NASDAQ exchange. \u201cAgain all part of the process of bringing [an] ETF to market,\u201d he said.<\/p>\n <\/a><\/p>\n The filing ignited feverish momentum in the markets, with Bitcoin rallying 15% in 24 hours to tag a local high of $35,000, according to CoinGecko. Other top ten cryptocurrencies are up by between 5% and 8% over the same period.<\/p>\n BlackRock filed its application for a spot Bitcoin ETF in June, prompting a rush of similar filings<\/a> from rival asset issuers.<\/p>\n While the U.S. Securities and Exchange Commission has approved futures-based Bitcoin ETFs in the past, such products invest in derivatives and thus do not impact the supply of BTC. By contrast, a spot ETF would invest in Bitcoin directly, driving scarcity for the asset\u2019s supply.<\/p>\n Signs of progress towards the iSHARES Bitcoin Trust\u2019s launch helped to pull the markets out of a multi-month downtrend. The combined crypto market cap is now on the cusp of retesting April\u2019s year-to-date high of $1.28T after sitting at $1.03T last month.<\/p>\n Last week, an inaccurate tweet from the crypto media outlet, Cointelegraph, falsely claiming BlackRock\u2019s ETF had received regulatory approval, sent Bitcoin flying<\/a> 10% in an hour. However, the markets quickly gave back most of the gains when BlackRock rejected the tweet\u2019s claim shortly after.<\/p>\n Start for free<\/a><\/div>\n Analysts at JPMorgan predicted the SEC will approve iSHARES Bitcoin Trust by January 10 \u2014 the deadline for its verdict on rival applications from Ark Invest and 21Shares.<\/p>\n JPMorgan recently said the SEC\u2019s decision not to appeal a recent court ruling<\/a> permitting Grayscale, a crypto asset manager, to convert its Bitcoin Trust into an ETF indicates a spot Bitcoin ETF approval is likely around the corner. Coinbase echoed<\/a> the same sentiment in an Oct. 20 interview with CNBC.<\/p>\n Traders are closing the gap between the price of BTC and shares in Gryscale\u2019s Bitcoin Trust in response to the news, with GBTC shares trading an 11%<\/a> discount relative to BTC \u2014 its lowest level in two years, according to Ycharts.<\/p>\n On Monday, SEC Commissioner Hester Pierce told CNBC she is frustrated that her agency is still yet to approve a Bitcoin ETF thus far.<\/p>\n![\"the-defiant\"](\"https:\/\/thedefiant.io\/_next\/image?url=https%3A%2F%2Fcdn.sanity.io%2Fimages%2F6oftkxoa%2Fproduction%2F652798fa4119893a1cd71392c516c52c3e8bccc6-1314x592.png&w=828&q=75\")
Bullish Anticipation<\/h2>\n
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![\"the-defiant\"](\"https:\/\/thedefiant.io\/_next\/image?url=https%3A%2F%2Fcdn.sanity.io%2Fimages%2F6oftkxoa%2Fproduction%2F8455bb7e8f72b2b1accc84e29377ffde295f0733-1137x354.png&w=828&q=75\")
<\/figure>\nSEC Commissioner calls for Bitcoin ETF approval<\/h2>\n