Bitcoin price turned south and lost $34,000 after a recent news update approximately an hour ago. The past 24 hours have brought many breaking developments, triggering volatility and taking us back to sleepless nights filled with rapid news flow and high excitement. So, what happened in the last hour?
Current Status of Cryptocurrencies
After dropping to $33,200, the BTC price rebounded to the $33,900 level. The trigger for the price drop was the removal of the BlackRock ETF listed on the Depository Trust and Clearing Corporation (DTCC). The DTCC listing was a sign that the ETF approval and launch were approaching. We mentioned yesterday as breaking news that this development could lead to a price increase.
Just a few days ago, the news of the erroneous ETF approval caused the market to reach $30,000, leading investors to a greater excitement.
Indeed, after the incident, the BTC price surpassed $35,000 at the opening of the Asian markets hours later. Now, it has been revealed that the BlackRock Spot Bitcoin ETF, iShares Bitcoin Trust (IBTC), has been removed. This is quite normal because Bloomberg ETF experts stated yesterday that what they saw at the DTCC was earlier than expected.
Is the ETF Approval Cancelled?
So, what does this mean? There is no reason for cryptocurrency investors to worry. We should have considered the possibility of such a step since ETF experts already stated that it was an early listing. Most likely, the SEC did not want such a confirmation to be there, either due to speculative movement or because they wanted to make the big announcement themselves. In order to eliminate the perception that the market is 100% certain about the ETF approval (after the previous erroneous news, they had stated that we are the only source of information), such a step was taken.
So, what will happen next? It is highly likely that ETF approvals will begin in the coming weeks. This is not only the view of individual investors and ETF experts, but also institutional investors. Considering the increasing open position volume and growing crypto ETP inflows, it is not difficult to understand what institutions think.
What will happen to the Bitcoin price? As we prepared this article, we saw that the price was recovering. Therefore, they believe that after the panic selling, the market has calmed down and that the removal of the CUSIP code is not as bad as initially thought and that it will be re-added.
It is important for investors to be cautious and not overlook future data on the macro front. In the coming days, the PCE data, which the Fed follows for inflation, will be released, and a surprise here can have significant consequences.
