Bitwise Asset Management has announced its preparations to launch the first spot exchange-traded fund for Dogecoin, which could hit the market as early as late November. According to analysts, the SEC’s automatic approval process allows the company to begin trading the Dogecoin ETF within 20 days, provided there are no objections from the regulator.
This is reported by Business • Media
Growing Institutional Interest in Meme Coins
Bitwise’s initiative reflects a growing interest among institutional investors in meme coins and alternative cryptocurrencies. Previously, exchange-traded funds for Solana, Litecoin, and Hedera Hashgraph were successfully launched, serving as a catalyst for expanding the range of similar products. Following Bitwise, Grayscale Investments has also updated its application for a Dogecoin ETF, initiating a similar 20-day countdown to a potential trading launch.
It seems that Bitwise is taking step 8(a) for its spot Dogecoin ETF, which essentially means they plan to take effect in 20 days if there is no intervention.
Technical Situation and Market Dynamics of Dogecoin
Despite high expectations for the ETF launch, Dogecoin’s technical indicators are showing a “bearish” trend. The token’s value has decreased for two consecutive trading sessions, attributed to large sell-offs by major holders. Traders are closely monitoring key support levels and the asset’s volatility ahead of the new instrument’s debut in the market.
At the time of writing, Dogecoin is trading at $0.1607, with a market capitalization of $24.38 billion. Over the past 72 hours, more than 1 billion DOGE (approximately $440 million) has been moved through the wallets of so-called whales, further intensifying the short-term “bearish” dynamics, despite optimistic sentiments among investors.
Experts emphasize that the launch of the Dogecoin ETF could mark an important milestone in the institutionalization of meme coins. However, the current gap between the actions of major investors and market expectations creates increased price volatility for the asset. U.S. regulators are currently taking a cautious stance, allowing automatic approval of new cryptocurrency instruments without direct SEC intervention.
It was previously reported that long-term Bitcoin holders sold nearly 405,000 BTC in a month, which also impacted the dynamics of the crypto market.