Around 9:00pm UTC, Bitcoin price saw an unexpected, aggressive and volatile up move then a dump amidst rumours of US SEC approving all Bitcoin ETF’s up for proposal.
The up-move surge caused by the confusion took the price of Bitcoin upwards of $1500 to around $48,000 and then an instant rejection down by $3,500 to $44,500.
The Securities and Exchange Commission (SEC) clarified that a social media announcement regarding bitcoin ETFs was inaccurate. The same is now on X too, by SEC official handle and from the official handle of Chairman Gary Gensler,
The @SECGov X account was compromised, and an unauthorized post was posted. The SEC has not approved the listing and trading of spot bitcoin exchange-traded products.
— U.S. Securities and Exchange Commission (@SECGov) January 9, 2024
The @SECGov twitter account was compromised, and an unauthorized tweet was posted. The SEC has not approved the listing and trading of spot bitcoin exchange-traded products.
— Gary Gensler (@GaryGensler) January 9, 2024
The SEC is anticipated to reach a decision on bitcoin ETFs this week, marking a notable development after years of opposition. Numerous asset managers, including several who submitted updated registrations on Tuesday morning, have applied to establish such a fund.
The cryptocurrency has seen a recent uptrend, partly fuelled by growing optimism surrounding the potential approval of spot bitcoin ETFs. Advocates of cryptocurrencies argue that the introduction of these funds could attract a new category of investors to digital assets.
Financial advisors commonly utilize ETFs as an asset class. The expectation is that advisors and investors, who may have reservations about the complexities of bitcoin custody, could be more inclined to purchase crypto within the framework of an ETF.
