The U.S. Commodity Futures Trading Commission (CFTC) has granted approval for the trading of spot Bitcoin 
$90,641 ETF options. This decision will facilitate the wider acceptance of Bitcoin ETFs on Wall Street. However, the final approval process depends on the assessment by the Office of the Comptroller of the Currency (OCC).
CFTC’s Approval and Its Impact
The CFTC’s approval will pave the way for the listing of Bitcoin ETF options. Bloomberg’s senior ETF analyst Eric Balchunas stated on November 16 that this development is a positive step. He emphasized that the DCR’s view indicates that the listing of these shares on SEC-registered national securities exchanges does not fall under the CFTC’s jurisdiction, thus allowing the options to be cleared within the OCC framework.
“DCR’s view is that the listing of these shares on SEC-registered national securities exchanges does not pertain to the CFTC’s jurisdiction and therefore, the options will operate under a registered clearing agency overseen by the SEC.”
The approval of Bitcoin ETF options will enable institutional investors to manage risks or increase their positions against Bitcoin price movements. These derivative instruments grant the right to buy or sell Bitcoin at a specific price within a designated timeframe.
Bitcoin Price Developments
The CFTC’s approval could increase interest in the Bitcoin market. In recent weeks, Bitcoin has surged to above $91,000, marking a 3.79% increase. Jeff Park, Chief Strategy Officer at Bitwise, noted that these developments will elevate the demand for investment products.
“They will soon be listed.”
Eric Balchunas also mentioned that analyst Ali Martinez predicts Bitcoin could reach $100,680 if it closes above $91,900 this week. These developments may contribute to new investment opportunities in Bitcoin ETF options and enhance broader acceptance of Bitcoin. For investors, this means greater flexibility and strategic choices in the Bitcoin market.
