Crypto market traders and investors were shaken in the early hours of the day by a fake spot Bitcoin ETF approval announcement from the official X account of the US Securities and Exchange Commission (SEC). On-chain data showed that the trading dynamics between Bitcoin (BTC) and some altcoins changed due to this situation.
Five Altcoins’ Prices Rise After Fake Spot Bitcoin ETF Announcement
According to data compiled by on-chain data platform Santiment, it was observed that the prices of particularly 5 altcoins increased following the revelation that the spot Bitcoin ETF approval announcement was fake.
Following the fake ETF approval announcement, the price of the largest cryptocurrency surged to $47,900 before retracting to $45,500. This price movement shook crypto investors, resulting in over $140 million in liquidations within a few hours.
Despite the volatility and downward trend in Bitcoin’s price, some altcoins did not fall but instead increased in value. The drop in Bitcoin did not affect Ethereum (ETH), HEX (HEX), Aave (AAVE), Lido DAO (LDO), and Pepe (PEPE). This was recorded as one of the rare recent instances where the altcoin market diverged from a strong correlation with Bitcoin’s price. Data shows that despite a 3% drop in Bitcoin’s price, the mentioned altcoins’ prices increased.
Altcoins After the Fake ETF Announcement
ETH, the second-largest cryptocurrency by market value and also the largest altcoin, rose by 3.35% in the last 24 hours, while the price of LDO saw a remarkable increase of 19% in the same period.
Whether the rally in these 5 altcoins would continue disproportionately to Bitcoin if the spot ETF approval were officially announced remains uncertain, but it has excited investors. It should be noted that historical data indicates that Bitcoin’s movement in a bull run triggers the flow of funds into altcoins.
