Over the past few weeks, the Cryptoverse has been under heavy criticism. It is alleged that they have risen at a quick pace which has raised a lot of questions. As such, inescapable adjustments have to be made. Last year alone, close to 12 Bitcoin ETF applications were submitted out of which 11 were rejected.
VanEck had proposed to use data from the OTC market to calculate Bitcoin base price, which is purported to be higher than crypto exchange market in terms of trading and volume. SEC’s verdict this week could greatly impact the asset.
The Awaited Verdict
The US Securities and Exchange Commission (SEC) is expected to draw its final decision on VanEck Exchange -Traded Fund (ETF). The Crypto community is curious and already expressing their apprehensions as to whether Bitcoin will rise or fall.
Applications for Bitwise and VanEck had already been published in the Commission’s Federal Register on February 15 and 20 respectively. Normally, it takes 90 days to make a final decision which means that VanEck’s is due on Tuesday, May 21. As with major decisions, there could be three likely scenarios. The EFT could be approved, denied, or delayed further.
According to Alex Krüger, an economist and trader, if the proposal doesn’t gain approval, Bitcoin would sink low and thus presenting an opportunity to buy the dip. Despite the minor drop towards the end of last week, Bitcoin managed to surge back to $8,000 by Sunday.
Josh Rager, a Crypto trader and investor confidently stated in his Twitter should the SEC delay the ETF approval, there would be a minor impact on the price irrespective of the current movement of the market. He is certain that Bitcoin will rise to a new yearly high in the coming weeks. In an earlier post, he had mentioned that impending ETF decision would greatly affect the Bitcoin price but has since stated otherwise.
BTC Still Growing
As of now, BTC is still continuing with the momentum that had kicked off in Asian trading on Sunday. BTC has managed to bounce back entirely from the two-day correction which had seen it going as low as $7,000. Furthermore, it has resumed its highest price in 2019 at $8,250 and seems ready for further increment.
Currently, the daily volume has increased to around $24 billion and Bitcoin remained at above $8,000, up by 1-2%.
At the time of writing, a number of major altcoins such as Dash are steadily gaining. Dash has had a 10% pump and the total market cap is a little less than $250 billion, which is a recorded high in the past ten months.
The Cryptoverse has been looking forward to an ETF for years now and only the final announcement will tell it all. This won’t be the first delay VanEck ETF because the commission was to decide on their application since 2018, but it was postponed to March and now 21 May. Enthusiasts are crossing fingers hoping that the SEC will give its judgment without any delays as experienced before.