Bitcoin ETF approved, possible $4 billion inflow and BlackRock’s IBIT ETF up 25%

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Last Updated on 11 January 2024 by CryptoTips.eu

Several Bitcoin ETFs were approved for trading last night by the American stock market watchdog SEC. Blackrock, the largest investment fund in the world, will ring the stock market bell today to open the US stock exchanges in order to promote the offering of their latest fund, called iShares Bitcoin Trust (IBIT).

BlackRock’s IBIT is currently up 25% pre-market with $2 million in trading.

And Bloomberg expects a $4 billion inflow on the first day of trading, including $2 billion from Blackrock.

Furthermore, on Tuesday night already, the Twitter (now X) account of the American stock market watchdog SEC was hacked to falsely report that an ETF had already been approved. This could have consequences for the team of Gary Gensler as several politicians are now demanding answers.

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Bitcoin ETF approval 2024

So now we have Bitcoin ETFs, which are designed to get more people to invest in Bitcoin. What is it? Well, in essence, some of the older generations of people (the Boomers and GenX-ers mostly) don’t like crypto platforms like Bybit, Bitvavo or MEXC. They prefer to call their broker and simply buy a stock or a fund. They have heard of Bitcoin though, and know that it’s going up over the years.

Thanks to the Bitcoin ETFs of several Wall Street firms that have now been approved, they can now just call their broker and invest in Bitcoin, through an ETF.

So if tomorrow Blackrock says that, for example, 10,000 investors have opened an ‘iShares Bitcoin Trust’ for example, you know that those people will have bought a share in Bitcoin and are in it for the long run. Because they normally keep that money there for a year before checking again.

In essence, it gives a chance to millions of ordinary Americans to buy Bitcoin without the hassle of opening a crypto platform account. Whether this will drive up the price of Bitcoin remains to be seen but most analysts believe it will.

SEC hack

Furthermore, on Tuesday evening already, just as CNBC and other American financial television channels were discussing a possible Bitcoin ETF approval, the social media account of the American stock market watchdog SEC was hacked.

The hacker sent a single tweet that read “$BTC.” The message was deleted a few minutes later, but it did have an effect on the price of Bitcoin, which first shot up and then fell sharply. The SEC later apologized and claimed their account had been taken over. Of course the damage had been done in those few minutes.

Several US senators have already asked the SEC for an explanation, realizing how easily the price of Bitcoin can be manipulated in this way.

This is not the last we’ve heard of this.

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / jeroen@cryptotips.eu
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