In a continuing saga between investors and the Securities and Exchange Commission (SEC), Dan Morehead calls for long-term thinking.
Bitcoin began to plummet fast and hard, for the next couple of hours, bitcoin had broken the $6,900 support level and followed to bottom at $6,487. Some tokens with more than $1 billion in value, such as IOTA and EOS, lost more than 15%. Meanwhile, the ETF team has submitted to the SEC key changes addressing all concerns cited as reasons for rejecting Solidx Bitcoin Trust ETF previous year. On this occasion, the SEC said that it is pushing out its decision until September 30. Both companies are now waiting for their ETF proposal to be approved by the agency. Instead of pushing the proposal aside altogether, the SEC voted to garner opinions from industry professionals, as well as publish the company’s application for public comment.
“Bitcoin is in dump mode, following the pump run-up on the potential for a U.S. ETF”.
An ETF is a form of investment that tracks the performance of a basket of assets or a given index.
The reason why this is such an important moment for the crypto community is that as soon as crypto assets make their way into the global stock markets the market capitalization of Bitcoin is going to skyrocket.
This sentiment was echoed by Mike McGlone at Bloomberg Intelligence, who noted that Bitcoin is “poised” to move even lower, as Bitcoin bulls have seemingly receded into the shadows. An ETF offering was to further legitimize BTC and cryptos to the investing public.
Vitalik Buterin, the co-founder of the Ethereum network, believes that the crypto bear market is nearing its end.
Optimism for ETFs have been gathering steam and has helped to fuel a bit of a recovery in Bitcoin over the past month so any sort of delays or stumbling blocks will have some form of negative impact on prices. “People get excited about the price and overreact”, said Morehead, whose investment firm has recorded a lifetime return of about 10,000 percent. Although there has been much talk of late over the interoperability of this innovative coin with its adoption over several shopping platforms in Cyprus, amongst other countries, the price continues to tank. A decision regarding the Bitcoin ETF was expected to come this Friday, however yesterday, things took a turn for the worse. The SEC explains that the former did not meet the requirements to ensure that their ETF is created to protect investors from fraudulent and manipulative practices.