False Alarm

Dear clients, Bitcoin rose unexpectedly on Monday, but almost completely lost ground after management company BlackRock denied a cryptocurrency media report that US regulators had approved its application for a cryptoinvestment product. The cryptocurrency, known for its volatility, was last trading up 3.82% at $28 211, after earlier rising 10% to $29 900, its highest level since August. Cryptocurrency publication Coin Telegraph had previously reported that the US Securities and Exchange Commission had approved an application by major asset manager BlackRock to set up a bitcoin exchange-traded fund, but then withdrew the publication. BlackRock itself later confirmed that "the iShares Bitcoin ETP application is still under SEC review." Cryptocurrency markets are awaiting news on several applications for spot bitcoin ETFs, which, if approved, are expected to boost investment in the sector. The SEC has rejected all applications for spot bitcoin ETFs on the grounds that the applicants have not proven that they can protect investors from market manipulation. Such a move shows just how monomaniacally obsessed the bitcoin market is with the idea of upcoming spot ETFs. While the news that the SEC approved a spot bitcoin ETF on Monday was a "false alarm," it was also a "good dress rehearsal" before the regulator makes a final ruling on the applications, experts say. The headline risk creates a lot of volatility ahead of the SEC's announcement, with everyone trying to get ahead of it, as the market will change markedly in either direction depending on the decision. Источник: https://freshforex.com/analitics/trading-news/news_36976.html