With Spot ETF Bullish Sentiment, Will Bitcoin Break Through $38,000 in December?

There are a number of updates associated with spot Bitcoin ETFs in recent months ahead of the new year countdown, which could be the key factor behind Bitcoin’s stable performance. Will Bitcoin break through $38,000 in December?

Grayscale Updates GBTC Agreement

Leading digital asset management firm Grayscale Investment has recently updated the agreement of Grayscale Bitcoin Trust (GBTC). Key amendments are the changes in the fund’s fee structure and the investment account.

Specifically, the firm proposes to change the frequency of fee payments from monthly to daily, but the payment timing is still at discretion. Grayscale also proposes to utilize an omnibus account to enhance the efficiency of share creation and redemption processes.

It’s the first time Grayscale amended its trust agreement since 2018. Many crypto members believe that this move could signal a potential approval of spot Bitcoin ETF.

Earlier on November 22, the company updated its S-3 filing with plans to change GBTC’s ticker to BTC official. This was made after Grayscale’s discussion with the U.S. Securities and Exchange Commission (SEC).

The SEC is reviewing several spot exchange-traded fund filings from high-profile figures, such as BlackRock, VanEck, ProShares, Fidelity, Invesco, and WisdomTree, to name a few. Grayscale initially submitted a proposal to convert its GBTC to a spot Bitcoin ETF. The securities agency, however, rejected Grayscale’s filing, leading to a legal lawsuit that recently ended in favor of Grayscale.

BlackRock and Nasdaq were also in discussion with the SEC earlier this month while ARK Invest and 21Shares said in October that they communicated with the agency.

Bitcoin Eyes $38,000 as The Year Draws to a Close

According to CoinMarketCap, Bitcoin (BTC) has seemingly declined to return below $34,000. The flagship cryptocurrency even surpassed $38,300 this week.

Glassnode’s accumulation trend score indicates that from October 23 to mid-November, large entities accumulated more bitcoin. During that period, Bitcoin’s price surged from approximately $32,900 to around $36,500.

Data from Bitinfocharts specified that a mysterious whale acquired 1,268 bitcoin (BTC), making it the 74th largest BTC holder. Bitinfocharts also reported over 81,000 wallets had accumulated at least $1 million worth of Bitcoin, up to 237% since January this year. In addition to the hype surrounding the spot ETFs, Bitcoin Halving, one of the most important events next year, is expected to be the catalyst to boost the price.

Nevertheless, market sentiment is now a mix of optimism and caution. While some forecasts highlight the potential for trillions of dollars in untapped value, others maintain a more conservative outlook. Additionally, the halving event has historically been associated with a short-term drop followed by a long-term surge.