The anticipation of the potential approval of a Bitcoin Exchange Traded Fund (ETF) by the SEC has led to a surge in Bitcoin’s price.
Traders at Polymarket predict an 89% chance of SEC approval of spot Bitcoin ETFs by January 15.
The optimism surrounding the approval of a Bitcoin ETF has caused Bitcoin’s value to surge.
Recent data from Polymarket reveals a significant increase in confidence among traders that the SEC will approve one or more spot Bitcoin ETFs.
Some traders are hedging their bets by investing in the opposing side of the prediction contract, in anticipation of a potential downturn in Bitcoin’s value if the SEC defers or rejects the ETF approval.
The strike prices on put contracts with the most open interest were $44,000, $42,000, and $40,000, respectively, indicating that put holders could exercise their options and minimize losses if Bitcoin reacts negatively to the SEC’s decision.
The approval of a Bitcoin ETF by the SEC would be a defining moment for the cryptocurrency industry.
