Worldsfeed Tech Desk: Cryptocurrencies, including Bitcoin, saw a substantial upswing, primarily fueled by the growing prospect of the Securities and Exchange Commission (SEC) greenlighting the first-ever spot Bitcoin exchange-traded fund (ETF). Over the past 24 hours, Bitcoin surged by more than 3%, breaking free from its stagnant trading range around $26,000 and reaching above $27,800. While the crypto market has been influenced by broader economic factors, it has recently shifted its focus back to crypto-specific catalysts.
Key among these catalysts are the pending decisions from the Securities and Exchange Commission (SEC) regarding spot Bitcoin exchange-traded funds (ETFs) and the potential conversion of Grayscale Bitcoin Trust into a spot Bitcoin ETF. This has led to considerable anticipation in the market. A spot Bitcoin ETF, if approved, is expected to entice a fresh wave of investors and institutions into the digital asset space.
One significant indicator of market enthusiasm for the Grayscale conversion is the narrowing of the Grayscale discount, marking renewed confidence that the SEC will approve the fund’s transformation to par value. The discount reached its narrowest point since December 2021, standing at less than 16% after hovering near 19% at the start of October.
Apart from Bitcoin, other cryptocurrencies also displayed positive movements, with Ethereum (Ether), Cardano, Polygon, Dogecoin, and Shiba Inu all showing gains, indicating a broader bullish sentiment in the crypto market.