The crypto industry made strong speculations that after the spot Bitcoin ETF approval, the price of Bitcoin would skyrocket because the signs of approval would have a visible effect on mainstream media and Bitcoin as well. Many people in the crypto industry have also put their stamp on this matter, but from Friday Bitcoin is trading at $42,000 and is still struggling which is currently trading at $42,939.
Possible Reason Behind Dro
Anthony Scaramucci has shared his insights as the recent downturn in Bitcoin is partly due to selling pressure from Grayscale’s GBTC and the FTX position. And he cleared that this selling pressure will be resolved soon. Investors hope this liquidation is temporary and Bitcoin will bounce back with a notable surge.
On Friday, shares of Coinbase lost nearly 7.4% and Bitcoin miners Marathon Digital, Hut 8, and Riot Platforms all followed the trend and lost almost 10%. Coindesk
Spot Bitcoin ETF Approval
This approval brought a significant surge in Bitcoin price when the day after approval it was trading at $47,000 and the trading volumes surged almost $4 billion till today.
The decline in the Bitcoin price happened the next day when spot Bitcoin ETF trading began. Short-term investors are expecting sudden profits but the holders of Bitcoin are optimistic as this price manipulation is just for some amount of time.
A recent report by CryptoQuant has predicted that Bitcoin may go below $32,000 after approval and this may be due to the “Sell The News” trend.
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