The Bitcoin market recently witnessed a solid development as former Securities and Exchange Commission (SEC) Chair Jay Clayton has voiced his support for the approval of Bitcoin Exchange-Traded Funds (ETFs). This endorsement could potentially signal a bullish wave for Bitcoin and guide others on the importance of BTC integration into mainstream financial markets.

SEC Should Greenlight Bitcoin ETFs

In a recent conversation with CNBC, Jay Clayton, the former chair of the SEC, expressed that the approval of a Bitcoin ETF would be “difficult to ignore.” Furthermore, Clayton offered his insights on the significant progress of the digital asset industry and explained why establishing a regulatory framework would make such an approval advantageous.

Reflecting on the early days of Bitcoin, Clayton described it as a distant, retail-oriented market that bore little resemblance to the heart of financial systems. He admitted his initial skepticism towards the Bitcoin market, attributing it to concerns about questionable practices such as wash trading and potential market manipulation.

Jay Clayton, who served as the SEC Chair from May 2017 until December 2020, has been known for his cautious approach towards cryptocurrencies during his tenure. His recent statement advocating for Bitcoin ETFs marks a significant shift in his stance, sparking widespread discussion within the crypto community and financial sectors.

Yet, Clayton recognized the remarkable progress the industry has achieved, especially in the area of institutional investment. The fact that well-established companies are now adopting Bitcoin signifies a rising trust in the regulatory safeguards and trading potential of the cryptocurrency sector.

Does Bitcoin Actually Hold A Bullish Future?

The surge in Spot Bitcoin ETF proposals this year has been a notable development, marking a shift in viewpoint from conventional financial institutions. Major players like BlackRock and Fidelity, despite initial rejections, have demonstrated their commitment and optimism by reapplying for Bitcoin ETFs. However, the fate of these proposals ultimately hinges on the US Securities and Exchange Commission (SEC) and its decision to approve or deny their establishment.

Clayton said:

“The fact that we have these institutions that know markets better than anybody and saying we’re going to put our reputation behind it, I find that pretty remarkable. What the institutions are arguing is that those distinctions have gone away, and now the spot product is less drag, more efficient for the investors.”

Talking about Bitcoin’s future potential and adoption, Standard Chartered suggested today that Bitcoin could potentially hit $50,000 this year and escalate to $120,000 by the end of 2024. They anticipate that the recent surge in Bitcoin’s price could incentivize “miners” to accumulate more of the supply.

Earlier in April, Standard Chartered projected a $100,000 value for Bitcoin by the end of 2024, signaling the end of the so-called “crypto winter.” However, Geoff Kendrick, one of the bank’s leading FX analysts, now believes that there’s a 20% “upside” to that previous estimate.

Source: https://coinpedia.org/news/bitcoin-etfs-should-be-approved-says-former-sec-chair-jay-clayton/