Key Takeaways:
- Not all Bitcoin ETF decisions are pushed to 2024. Relax, Twitter!
- The SEC still has several decisions to make in 2023.
- Delays hurt Bitcoin price.
YEREVAN (CoinChapter.com) – In anticipation of a decision from the US Securities and Exchange Commission (SEC) on multiple Bitcoin spot ETF applications, a rumor started circulating the Twitterverse that the agency pushed all of the applications to 2024.
The FUD turned out to be groundless, as the only deadline on the agenda concerned ARK Invest, pushing the decision another three months to Nov 11, 2023, with the final decision to be delivered in Jan 2024.
Under CEO Cathie Wood’s leadership, ARK Invest entered the race by submitting its ARK 21Shares spot Bitcoin ETF application in May 2023. Still, the delay has brought further uncertainty to the Bitcoin market and speculation on possible delays for other applications.
Notably, the SEC’s lack of action came as no surprise. Wood also commented on the high probability of this development, citing spot Bitcoin ETFs becoming an eyesore for the regulators. The SEC previously rejected ARK’s proposals for a Bitcoin ETF, citing doubts about their capacity to prevent fraud and protect investors.
Meanwhile, all the other applications still await SEC’s decision.
SEC Has Seven Bitcoin ETF Applications to Review in 2023
The regulators have several applications on their desks, as seen in the chart below. The filing from investment giant BlackRock created the most buzz, as the firm holds over $9.1 trillion in AUM and has 1 declined ETF on its record, against 575 approvals.
Notably, the first deadline for BlackRock bitcoin spot ETF’s approval, rejection, or another delay will come on Sep 2, possibly setting the tone for the rest of the companies. The date could prove pivotal for the markets, as Sep 2 is also the first deadline for VanEck, WisdomTree, Fidelity, and Valkyrie.
Bitcoin Bulls Are Not Thrilled
That said, Bitcoin reacted negatively to the ARK application delay on Aug 14, with BTC/USD exchange rate sliding south by nearly 3% since.
If SEC delays more decisions in early September, the Bitcoin price could further drop, losing the $29,000 support.
All the Bitcoin ETF decision delays mentioned in the chart below have hurt the price, including a previous entry from ARK Invest. For example, the NYDIG delay in Jan 2022, Wisdom Tree delay in March, VanEck review delay in August, etc.
Thus, considering the unfavorable macro conditions and the Fed’s possible interest rate hike in September, BTC bulls should be ready for a downturn.
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