Grayscale GBTC discount falls to 16% as markets bet on Bitcoin ETF approval

Grayscales Bitcoin investment automobile, Grayscale Bitcoin Trust (GBTC) is trading at its lowest discount in nearly 2 years, as area Bitcoin ETFs continue to inch toward prospective approval in the United States. The most recent data from YCharts reveals GBTCs discount rate to Bitcoin net possession value (NAV) has narrowed to 15.87% since Oct. 13. Discount rate to net asset value (NAV) is a portion that measures the quantity that a shared fund or ETF is trading listed below its net property worth. The metric is used to track how far away a security is trading away from its real value. Information shows that GBTCs discount began to narrow when BlackRock and a number of other financial institutions filed spot Bitcoin ETF applications in mid-June, where the discount rate fell from 44% on June 15 to 26.7% by July 5. Ever since, the figure has continued to narrow. GBTCs Discount to NAV chart over the last 12 months. Source: YChartsThe last time GBTCs discount rate was at a similar level remained in early December 2021– only a month after BTC struck its all-time high price of $69,000 on Nov. 10, according to CoinGecko.Bitcoin supporter Oliver Velez believes the marketplace is pricing in area Bitcoin ETF approval by years end.Other analysts, such as cryptocurrency financier Lyle Pratt think GBTCs discount will continue to “vaporize” over the next week or 2 as spot Bitcoin ETFs near approval.THE GBTC DISCOUNT HAS NARROWED TO 16% AS THE MARKET BETS ON A BITCOIN SPOT ETF APPROVAL.Grayscales Bitcoin Trust, commonly called GBTC, has actually experienced significant changes in its market dynamics. At the start of this year, GBTC was trading at a considerable discount rate of 48.31% … pic.twitter.com/2nWLmvnewb— The Wolf Of All Streets (@scottmelker) October 13, 2023

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Reports emerged that the SEC would not appeal the Grayscale decision on Oct. 13, causing Bloomberg ETF expert James Seyffart referring to spot Bitcoin ETF approvals as a “done offer” in an Oct. 13 post. Related: ETF filings changed the Bitcoin narrative over night– Ledger CEOOn Oct. 15, Grayscale apparently delivered a declaration noting that the SECs 45-day duration to seek a rehearing had actually passed, suggesting the court would issue its “final required” within 7 calendar days.” The Grayscale group remains operationally all set to transform GBTC to an ETF upon the SECs approval, and we anticipate sharing more details as quickly as practicable,” the business reportedly said.NEW: Statement from @Grayscale on the @SECGovs decision to not seek a rehearing:” The Federal Rules of Appellate Procedures 45-day period to seek rehearing has now passed. The Court will now issue its last mandate within 7 calendar days. The Grayscale group stays …– Eleanor Terrett (@EleanorTerrett) October 15, 2023

Cointelegraph reached out to Grayscale for remark however did not get an immediate response.Magazine: How to protect your crypto in a volatile market– Bitcoin OGs and specialists weigh in