The king cryptocurrency fell to $40,750, liquidating half a billion dollars in positions, before bouncing back to $44,000. This was expected as the rationale for the drop lacked any solid basis. We mentioned yesterday that this was being turned into a “sell the news” event.
Why Is Bitcoin Rising?
ETF approval rumors had caused the BTC price to fall, but now we see it reclaiming the $44,000 mark. A report shared with clients by Matrixport was based on assumptions, and yesterday its founder clarified this. Subsequently, we witnessed events that indicated ETF approvals were nearing.
- The SEC planned meetings with 3 exchanges for listing.
- Grayscale, VanEck, Fidelity, and others updated their ETF filings.
As a bonus, sources at Fox Business reported that official ETF approvals would be communicated to issuers on Friday. When we weigh all these developments, the scale tips in favor of the bulls, especially when we add Matrixport’s predictions to the equation.
The last drop that trapped bears was speculative, and with more developments feeding optimism for ETF approval, it’s not surprising to see the continued rise in BTC prices.
