Key Insights
- •Bitwise has filed an S-1 amendment for its Chainlink ETF with the U.S. SEC.
- •The issuer has revealed a management fee of 0.34%.
- •Bitwise will waive the entire fee for one month or until assets under management reach $500 million.
- •LINK price has experienced a 5% decline, failing to hold key support levels.
Bitwise Updates Its Spot Chainlink ETF Filing
Crypto asset manager Bitwise has submitted an updated S-1 filing for its spot Chainlink ETF to the U.S. Securities and Exchange Commission (SEC).
The amended filing includes several key details such as the management fee, ticker symbol, and information regarding a fee waiver.
In the latest filing with the U.S. SEC, Bitwise has disclosed a management fee of 0.34%. Additionally, the company has announced a fee waiver that will eliminate the management fee entirely for one month, or until the ETF reaches $500 million in assets under management.
The Bitwise Chainlink Trust ETF is slated to list its shares on NYSE Arca under the ticker symbol "CLNK."
It is important to note that Bitwise has not yet removed the delaying amendment from the filing, even following recent guidance from the U.S. SEC’s Division of Corporate Finance.
Bitwise is expected to seek approval for its Chainlink ETF from the U.S. Securities and Exchange Commission.
In parallel developments, Grayscale also filed an S-1 amendment for its Chainlink ETF with the U.S. SEC last week. Grayscale revealed a management fee of 0.35% and a fee waiver for three months or until the ETF reaches $1 billion in assets under management.
DTCC Lists Bitwise Chainlink ETF
The Bitwise Chainlink ETF has been listed on the DTCC under the ticker symbol "CLNK," generating considerable interest within the crypto community. This listing on the Depository Trust & Clearing Corporation is seen as a positive indicator for the potential approval of Chainlink ETFs.
Through its Chainlink ETF, Bitwise aims to offer both institutional and retail investors a means to gain exposure to the LINK cryptocurrency.
The trust has indicated an intention to enable staking, although specific details regarding this feature have not yet been disclosed. The filing includes the following statement:
“At a future date, it is the current intention of the Trust to amend its registration statement to allow the Trust to conduct staking as a secondary investment objective. The amended registration statement will include a detailed description of the Trust’s staking program under a section entitled Staking.”
LINK Price Experiences a 5% Drop
The price of LINK has fallen by 5% over the past 24 hours, extending its weekly decline to over 16%. At the time of reporting, the price was trading at $12.99.
The 24-hour trading range saw a low of $12.98 and a high of $13.96.
Furthermore, trading volume has decreased by 32% in the last 24 hours, suggesting a significant reduction in trader interest. Analyst Ali Martinez has pointed out that LINK could potentially lose the support trendline that has been in place since July 2023.
Currently, the LINK price is trading well below both the 50-day Moving Average (MA) and the 200-day MA on the daily chart, despite the anticipated launch of the Grayscale Chainlink ETF. To regain upward momentum, the price needs to reclaim levels above the 50-MA, which is currently at $17.48.
Data from CoinGlass indicates a substantial amount of selling pressure in the derivatives market over the past few hours. The total open interest for LINK futures has decreased by nearly 2%, reaching $571 million in the last 4 hours.