The Depository Trust and Clearing Corporation (DTCC) removed BlackRock’s Bitcoin ETF, iBTC, from its ETF list shortly after its addition on Monday.
Bitcoin’s price dropped by 3% in response, falling from $34,527 to $33,432 within 30 minutes shortly after the removal was noticed.
The drop appears to have triggered $37 million in long liquidations across the crypto market within the past hour, according to CoinGlass.
Bloomberg analyst James Seyffart speculated that the Securities and Exchange Commission (SEC) might have influenced the decision. “I’m guessing the SEC made a call to BlackRock,” he tweeted on Tuesday.
Being listed on DTCC is a standard procedure for ETFs, typically occurring just before a fund starts trading.
BlackRock’s brief mention of the ETF on its site earlier had sparked excitement about an imminent spot Bitcoin ETF approval, boosting Bitcoin’s price to a yearly high of $35,000.
SEC officially received an order to review Grayscale’s Bitcoin ETF application, raising expectations of potential approval.
The SEC’s public comment period for BlackRock and other Bitcoin ETF applicants is ongoing until November 8th, according to legal expert Joe Carlasare.