Summary

• Bitcoin's price surged past $35,000 for the first time in over a year, fueled by anticipation surrounding potential approval of the first US spot Bitcoin ETFs.
• Bloomberg Intelligence ETF analyst Eric Balchunas revealed that BlackRock's iShares Bitcoin Trust has been listed on the DTCC, a crucial step toward launching a Bitcoin ETF.
• The crypto market eagerly awaits the approval of spot Bitcoin ETFs, which could significantly expand Bitcoin's adoption among traditional investors.

Bitcoin Surges Over 14%

Bitcoin, the world’s largest cryptocurrency by market capitalization, soared to heights not seen in over a year, smashing past the $35,000 mark in the early hours of Tuesday. The move marks over a 14.5% gain from its Monday lows of $29,883. Adding to its weekly gain of 20.4%, this is the first time Bitcoin has tested the $35,000 region since May 2022. 

The move has seen Bitcoin’s trading volume soar to $48.44 billion, gaining over 198.40% in the last 24 hours, according to data from CoinMarketCap. 

The renewed enthusiasm for Bitcoin among the crypto community is mainly attributed to the potential approval of the first US spot Bitcoin ETFs. Leading asset management firms like BlackRock Inc. and Fidelity Investments are actively vying to be among the pioneers to offer these ETF products. Crypto advocates widely believe that the introduction of Spot ETFs could significantly broaden the adoption of cryptocurrencies.

BlackRock’s iShares Bitcoin Trust Listed on DTCC

Eric Balchunas, an ETF analyst at Bloomberg Intelligence, shared a noteworthy development on X (formerly Twitter). He revealed that the iShares Bitcoin Trust has been listed on the Depository Trust & Clearing Corporation (DTCC), the entity responsible for clearing NASDAQ trades, with the ticker symbol IBTC. 

Balchunas underlined that this listing marks a crucial step toward bringing a Bitcoin ETF to the market, even though it doesn't signify full approval. "It’s not home-free," Balchunas cautioned, "but this is pretty much checking every box that you need to check before you launch an ETF. When we see a ticker added, those things are usually right before launch."

Does BlackRock Have to Lead the Race?

Responding to queries about why BlackRock appears to be at the forefront of this ETF endeavor, Balchunas humorously remarked:

 "Because they manage $10T in assets? J/k… Seriously tho, they either got signal it's green light or they're just preparing everything assuming so. That said, we think many will launch at once vs. BLK going out bf others. Will amend that view if we hear anything contrary tho."

On October 23, an X post from analyst Scott Johnson provided additional clues that a spot Bitcoin ETF approval could be nearing for BlackRock. Johnson highlighted that BlackRock had secured a specific "CUSIP" license and might initiate the process of "seeding" its spot ETF with cash as early as this month. Commenting on this development, Eric Balchunas clarified that seeding an ETF typically involves a relatively small initial funding amount, just enough to set the ETF in motion. However, he emphasized that this is a positive sign and marks "another step in the process of launching."

The Industry Awaits

Earlier last week, Bitcoin rallied by 10% on the back of a misleading report that BlackRock’s Spot ETF application had been approved.

The crypto market remains on edge as the approval of spot Bitcoin ETFs in the United States draws closer. If and when these ETFs receive the green light, they could potentially unlock a new era of investment in Bitcoin, offering a more accessible and regulated means for traditional investors to participate in the crypto market.