Fidelity Amends Bitcoin ETF Application, Highlights Volatility Risks After FTX as SEC Decision Nears

Fidelity amended its Bitcoin spot ETF application, focusing on risks like volatility and FTX's collapse. A Bitcoin ETF would make it easier for traditional investors to buy Bitcoin.

The SEC has rejected Bitcoin ETF applications so far over manipulation concerns, but analysts now say approval is likely soon.

Fidelity's amendment warned the ETF share value could drop if Bitcoin's price and liquidity fall further due to events like FTX's failure.

Major firms like BlackRock, VanEck, and WisdomTree have also applied for Bitcoin ETFs. Analysts see 90% odds of approval in January.

Bitcoin recently traded around $28,257, down 59% from its all-time high per CoinGecko data, but Fidelity still calls it "superior money."