Matrixport’s Claims Triggered a Decline in Bitcoin
In the past hours, Bitcoin experienced significant volatility. Following its surge to $45,950, the highest level in 21 months, rumors circulated that the U.S. Securities and Exchange Commission (SEC) would reject applications for spot Bitcoin Exchange Traded Funds (ETFs). These claims led to an 11% drop in the value of Bitcoin, bringing it to the $40,300 level.
Applications Do Not Meet the Necessary Criteria!
Markus Thielen, the Chief Analyst of Matrixport, claimed that the SEC would reject all spot Bitcoin ETFs in January. According to Thielen, these applications have not yet met the crucial criteria required for SEC approval.
This development had a significant impact on the cryptocurrency market. Matrixport also revealed that there has been an influx of $14 billion into cryptocurrencies since September, driven by the expectation of ETF approvals. It was emphasized that $10 billion of this amount is directly related to ETF applications.
Nevertheless, according to Matrixport’s forecast, even in the event of the SEC rejecting spot Bitcoin ETF applications, it is anticipated that the price of Bitcoin will be above the early 2024 level of $42,000 by the end of the year.
