In recent developments within the cryptocurrency market, there has been a noteworthy shift in favor of the highly anticipated Bitcoin ETF. Prominent analysts at Bloomberg have notably increased the likelihood of approval for a Bitcoin ETF to 75% by the end of this year.
Bloomberg analysts Eric Balchunas and James Seyffart created a buzz with their recent announcement on X(Twitter). They’ve predicted that the chances of spot Bitcoin ETFs being introduced in 2023 are increasing, raising the odds to 75% and this can increase up to 95% by the end of 2024.
This comes in the wake of Grayscale’s recent success against the federal securities regulator. Eric Balchunas had previously estimated the probability of a Bitcoin ETF at 65%. However, the recent adjustment in this prediction is attributed to the remarkable unity and decisiveness exhibited by the United States Court of Appeals in their recent ruling.
Eric Balchunas and James Seyffart emphasized, “The judges unanimously repudiated the SEC’s arguments, and the agency will struggle to justify further denials as it faces deadlines.”
Balchunas emphasized that, in light of the recent setback and its public relations implications, rejecting a Bitcoin ETF application would be politically challenging. He mentioned, “We think the legal and PR loss will combine to make a denial politically untenable.”
It’s worth noting that, in the coming five days, the SEC faces a crucial “first deadline” decision regarding seven Bitcoin spot ETF applications from Bitwise, BlackRock, Fidelity, Invesco, Wisdomtree, VanEck, and Valkyrie.
Balchunas also mentioned that he won’t find it unexpected if the SEC postpones these forthcoming Bitcoin spot ETF applications.
