VanEck’s Bitcoin ETFs have been a rollercoaster ride for the past month. Three Bitcoin Futures ETFs had been approved by Securities and Exchange Commission. Spot ETFs proved to be the next big thing, offering traders a better trading experience. This would not happen anytime soon, as VanEck’s Spot Bitcoin ETF rejected by regulators.
The investment fund had already doubled its capital with the addition of a Bitcoin Futures ETF. VanEck achieved success this time, as the ETF was approved by SEC.
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VanEck ETF To Trade Tuesday
VanEck Bitcoin Futures ETF approval was perfect timing. Following an extremely successful introduction to the market, the interest in ETFs has declined significantly. What followed had been weeks of low performance as traders cashed out the gains that they had made from investing in the ProShares ETF – the first publicly traded bitcoin ETF – and had seemingly moved on to other options.
Source: BTCUSD on TradingView.com| Source: BTCUSD on TradingView.com
It is possible that VanEck ETF, which will trade on Tuesday (the VanEck ETF) may see some improvement after the asset was beaten to $69,000 from its ATH. While it might not be what the VanEck ETF had in mind, this is still a significant event as it will become the fourth bitcoin ETF publicly traded in the United States. This could also spark interest in futures ETFs and increase trading volume.
Futures ETF filed with Securities and Exchange Commission (October) will trade on Tuesday at the Chicago Board Options Exchange. CBOE has published a notice stating that the ETF will trade with the ticker “XBTF”.
Bouncing Back After A Rejection
Last Friday, after reviewing the application VanEck Spot Bitcoin ETF received a rejection by the SEC. CBOE couldn’t provide any evidence to support the claim that the fund would protect investors against fraudulent trading. This was the reason for rejection. So with the safety of investors’ funds in mind, the SEC had stamped out the ETF.
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According to Bitcoinist, this rejection led to the closure of long positions on the market. However, this wouldn’t last as the digital asset had enjoyed a fairly green week. However, it did leave bulls in a difficult spot since they had to do much more to stop the asset slide. VanEck seemed to take the rejection well.
There are rumors about when VanEck’s Spot ETF will be approved. Grayscale also applied to convert its bitcoin flagship fund into a Spot ETF, but the SEC has yet not taken any action.
Featured image by CoinDesk. Chart by TradingView.com