First spot Bitcoin ETF in US begins trading in pre-market with double-digit gains
The first-ever spot Bitcoin exchange-traded fund (ETF) in the United States has begun trading in the pre-market, a day after the approval by the Securities and Exchange Commission (SEC).
BlackRock’s iShares Bitcoin Trust with ticker symbol IBIT started trading in the pre-market, a day after the approval by the Securities and Exchange Commission (SEC).
BlackRock’s iShares Bitcoin Trust with ticker symbol IBIT started trading in the pre-market and is currently up by 22.25%, trading at $26.81.The iShares trust is listed on the Nasdaq exchange.
Apart from BlackRock, Grayscale’s Bitcoin Trust (GBTC) ETF was another spot BTC ETF to begin trading in the pre-market at press time. The GBTC shares were up by 2% during the pre-market trading hours. GBTC is listed on the New York Stock Exchange (NYSE).
Pre-market trading is the process of trading assets before the markets open, or in simple terms, trading before the regular market trading hours begin. The pre-market trading usually occurs between 8 am and 9:30 am ET. Traders often use pre-market movements to monitor how markets might operate post-opening.
In the landmark judgment, the SEC approved the 19b-4 applications from ARK 21 Shares, Invesco Galaxy, VanEck, WisdomTree, Fidelity, Valkyrie, BlackRock, Grayscale, Bitwise, Hashdex and Franklin Templeton, allowing their spot Bitcoin ETFs to be listed and traded on various public exchanges.
The official trading for all 11 approved spot BTC ETFs will begin when markets open on Jan. 11. However, the pre-market trading data looks bullish for the new regulated avenue for investment for U.S. investors.
The Bitcoin price didn’t react much to the official approval of the first-ever spot BTC ETF as it traded around the $46,000 mark before and after the approval. Many crypto enthusiasts pointed out that the BTC price reacted more significantly to the fake ETF approval news on Jan.9, rising as high as $48,000. However, market pundits suggested that the price might see more bullish action with the start of official trading as analysts expect billions to flow into these ETFs.
Bitcoin price is currently trading above $46,500 with just a couple of hours left for the start of the official trading hours.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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