On the morning of January 10th, the cryptocurrency market experienced significant volatility due to a series of events related to the approval of a Bitcoin ETF Spot by the U.S. financial regulatory agency, the SEC.
It all began when the Twitter account “Account X” of SEC Chairman Gary Gensler posted an announcement about the approval of a Bitcoin ETF Spot, accompanied by his image. This raised hopes among investors that such approval would enable them to access digital assets under SEC supervision.
However, within minutes, the SEC Chairman’s account, “Account X,” denied this information, stating that they had been the victim of a social media hack, and the news about the approval of the Bitcoin ETF Spot was fake. Gensler clarified that the SEC had not approved any Bitcoin ETF Spot proposals at that time.
Bitcoin’s price saw a drastic fluctuation as a result of these events. After the initial news of approval, Bitcoin surged to nearly $48,000 USD, but it quickly dropped to $44,800 USD when the information was debunked. Currently, the price of Bitcoin has rebounded and is trading close to the $46,000 USD mark.
The SEC is currently collaborating with law enforcement agencies to investigate this incident. However, there are concerns that this incident may be used as a reason to delay the decision on the Bitcoin ETF Spot before the expected deadline of January 10th. While this possibility remains speculative, it has caused apprehension in the market.
Some suggest that if this was an internal SEC action, it might be a tactic to postpone the decision on the Bitcoin ETF. Nevertheless, Dennis Porter, the CEO of the Satoshi Fund, still holds hope that the SEC will approve the Bitcoin ETF Spot by the end of this week or at the latest on January 10th.
The cryptocurrency market is inherently prone to fluctuations, and the decision regarding the Bitcoin ETF Spot will continue to be closely monitored in the coming days.