Market Analysts Claim That People In The Know Might Be The One With Imminent Approval Of Bitcoin ETF
Dylan Leclerc, co-founder of crypto advisory firm 21st Paradigm, has suggested that CME Group futures traders may manage the incoming approval of a bitcoin exchange fund in the United States.
Helpfully expand the basis of CME futures.
Good chance that knowledgeable players will be at the front A BTC dollars ETF futures announcement. https://t.co/Jnf3SfkgsH
– 🟠 Dylan LeClair (@DylanLeClair_) October 6, 2021
The CME futures basis, which shows the difference between the spot price and the futures price, has seen a significant rally over the past day.
The fact that contango is higher on the Chicago Mercantile Exchange than on the Panama-based Deribit shows that the strong buying pressure is mainly coming from the US
It was echoed by Mike Bukela of BlockTower, who also said that the ga could be caused by short positions called margin during Bitcoin’s recent rally to the $55,000 level.
CME Futures BTC basis has exploded in the last 24 hours,
my guess,
1) People are working up front on a futures-based BTC ETF
2) The sale is obtained so called margin,
And maybe both.Allowing BTC to decouple from other risk assets, triggering an inflation/gold listing at just the right moment.
– Mike Bucella (@MikeBucella) October 6, 2021
The head of US Securities and Exchanges, Gary Gensler, has repeatedly expressed support for a Bitcoin ETF backed by CME futures that will be regulated under the Investment Corporation Act of 1940 over the past few months.
Eric Balchunas, chief ETF strategist at Bloomberg, believes there is a 75% chance of approval of a Bitcoin futures-based ETF in October.
Yes, the Securities and Exchange Commission (SEC) has started getting Bitcoin ETF approval, but this is for people who are physically backed by Act 33. Forty-dated futures ETFs (which Jeans loves) are still very much alive and likely to be in Exact date (we believe 75% chance approved in October). Here are our odds: https://t.co/cSZ8aDsITl pic.twitter.com/DUEvRANvO7
Eric Balchunas October 2, 2021
In a recent Forbes interview, former Securities and Exchange Commission Chairman Jay Clayton, who failed to approve a Bitcoin ETF during his tenure, said that market internal design and monitoring are the prerequisites for approval of a Bitcoin ETF:
I think the Securities and Exchange Commission has been very clear about market integrity. Gensler has been very clear about market integrity and surveillance as the main threshold for approval of ETFs in the space. I think this is appropriate.