Bitcoin Price Rises After US SEC Okays Bitcoin ETFs In Landmark Decision For Largest Cryptocurrency

Bitcoin price traded in the green above the $46,460 mark on Thursday (Jan 11) after the US securities regulator gave the nod to the first U.S-listed exchange-traded funds (ETFs) to track bitcoin on Wednesday. The development is seen as a watershed moment for the world's largest cryptocurrency and the broader crypto industry.

The agency approved applications, including from BlackRock, Ark Investments and 21Shares, Fidelity, Invesco, and VanEck, among others, according to a notice on its website, reported Reuters. Some products are expected to start trading as early as today (Thursday).

The products - a decade in the making - would be a game-changer for Bitcoin, providing institutional and retail investors exposure to Bitcoin (BTC) without directly holding it, and a major boost for the broader crypto industry that has in the past witnessed a series of scandals.

In recent months, Bitcoin has gained over 70% on the expectation that ETFs for the asset would be approved by the US SEC.

The approval came as a big boost to the digital asset industry as the global crypto market cap today rose 3.48% at $1.77 Trillion at the time of writing this story.

The total crypto market volume over the last 24 hours increased 37.11% to $115.56 Billion. The total volume in DeFi currently stands at $8.5 Billion, 7.35% of the total crypto market 24-hour volume. The volume of all stablecoins is now $101 Billion, which is 87.40% of the total crypto market 24-hour volume.

On Thursday, the world's second largest cryptocurrency Ethereum was spotted trading over 10% higher at $2,619.62 per token.

According to CoinMarketCap data, the top Crypto gainers today included: Ethereum Classic (up 34.68%), Arbitrum (up 22.86%), Mantle (up 21%), and Blur (up 21%).

Commenting on this development, Rahul Pagidipati, CEO, ZebPay said, "The crypto industry has experienced a remarkable journey, marked by resilience and growth, and the prospect of SEC approval for Spot Bitcoin ETFs adds optimism. The readiness of the sector to list these ETFs and the commitment of the broader market to continue the growth momentum, highlight the industry's confidence in regulatory decisions."

"The potential approval of Spot Bitcoin ETFs not only symbolizes a maturing market but also signifies support from regulatory authorities. This clarity is pivotal for fostering a secure and transparent environment and is essential for the sustained growth of the crypto ecosystem," he added.

Meanwhile, Ashish Singhal, Co-founder and Group CEO, Peepal Co termed the decision historic and said that the US SEC approval of BitcoinETF marks a monumental shift in the financial world. It's a watershed moment for crypto and will bring in a new wave of investors. Now, even the most cautious funds and the titans of Wall Street can tap into Bitcoin's potential.

Ashish Singhal further said that an ETF will be the simplest form of Bitcoin exposure for retail users. "Investors can seamlessly benefit from Bitcoin price movements without the complexities of digital wallets or drastic investment strategy overhauls," he added.