'Clear runway' opens for all Bitcoin ETF approvals in Jan: Analysts

Bitcoin ETFs in the US face potential simultaneous approvals

Analysts predict that Bitcoin spot exchange-traded funds (ETFs) in the United States could see a wave of approvals in January. This comes after the Securities and Exchange Commission (SEC) delayed the decision on the applications of Franklin Templeton and Hashdex ETFs. The delay, which occurred 34 days before the Jan. 1, 2024 deadline, gives the SEC time to review the necessary forms for the ETFs to be listed and start trading. The comment and rebuttal period will last for 35 days.

Analysts place high odds on Bitcoin ETF approvals

ETF analysts James Seyffart and Eric Balchunas believe that the recent delays indicate a higher chance of spot Bitcoin ETF approvals by Jan. 10, 2024. Seyffart, in a Twitter post, stated that the delays were likely a move to align all applicants for potential approval by the deadline. Balchunas agreed, suggesting that the SEC was looking to clear the way for the ETF approvals.

Potential March approval for Franklin's ETF bid

Commercial litigator Joe Carlasare, however, believes that the delays could increase the probability of a March 2024 approval. The comment period for Franklin's ETF bid has been extended until Jan. 3, 2024, and the SEC typically takes a few weeks to review comments. Carlasare still considers January as the most likely favorite for approval.

Franklin's late submission raises fairness concerns

Franklin recently submitted an updated Form S-1 for its ETF after being the only bidder yet to do so. Balchunas expressed his support for letting all ETFs launch simultaneously but raised concerns about Franklin launching its ETF on the same day as other providers despite submitting the form months later.

Multiple Bitcoin ETFs await SEC decision

Currently, there are 12 spot Bitcoin ETFs awaiting a decision from the SEC. This includes bids from Grayscale and BlackRock. Most of the final decision dates are set for March, except for ARK Invest's bid, which the SEC must approve or deny by Jan. 10, 2024.