• The SEC has moved the deadlines for approving or denying Bitcoin ETF applications from major investment firms to mid-October 2023.
• Bitcoin’s market value experienced a 5% decline, tumbling down to $26,100 following the SEC’s announcement.

In an electrifying development, the U.S. Securities and Exchange Commission (SEC) has once again deferred its decision on multiple pending Bitcoin ETF applications. Fox Business journalist Eleanor Terrett spotlighted the SEC’s move in a recent tweet, adding another twist to a saga that has been thick with speculation, especially after Grayscale Investments won its lawsuit against the same regulatory body.

More Than Just WisdomTree: Financial Titans in Waiting

It’s not just WisdomTree; titans like BlackRock, Fidelity, VanEck, and Invesco Galaxy also find their ETF ambitions on hold. The SEC was initially on a 45-day clock set to run out on September 4, 2023, but that deadline has now been pushed, extending the timeline and suspense for market players.

Bitcoin Price Reaction: A Dip to $26,100

After the SEC’s decision was publicized, Bitcoin’s price fell sharply. According to CoinDesk report, the cryptocurrency’s value experienced a 5% decline, marking a downturn to $26,100.

The Grayscale Ripple Effect

The delay comes in the wake of Grayscale’s recent court victory over the SEC, a development that fueled hopes for a more favorable regulatory environment for spot Bitcoin ETFs. While Grayscale’s win does not greenlight a spot Bitcoin ETF immediately, it does mean the SEC must re-review Grayscale’s proposal, providing some measure of hope for similar pending applications.

Collective Approval: A Growing Chorus

In a unique turn of events, Bitwise’s Chief Investment Officer Matt Hougan has publicly urged the SEC to approve all the pending Bitcoin ETFs at once. Despite the SEC’s reputation for unpredictability, Hougan argues that a collective approval would serve the best interests of investors.

The SEC’s Strategy: A 240-Day Review Window

Historically, the SEC has often used up to 240 days for the review process, from the day an application is received to the final decision. This suggests that the latest series of delays, while impactful, are not necessarily uncommon for the agency.

Investors and industry observers now have their eyes peeled for mid-October, a month that could very well become a watershed moment for the world of cryptocurrency.