Bitcoin Price Prediction as ETF Approval Date Approaches – Quick Pump to $50,000 Incoming?
In the volatile world of cryptocurrencies, Bitcoin recently experienced a sharp decline, losing over 7% in just 24 hours, and dragging other major cryptocurrencies down with it. Ethereum, Solana, XRP, Cardano, and Avalanche all suffered significant losses following Bitcoin’s drop to below $42,000.
This sudden market downturn is largely attributed to the growing apprehension surrounding the upcoming decision by the US Securities and Exchange Commission (SEC) on the much-anticipated spot Bitcoin ETF applications.
Just days before, Bitcoin had witnessed a notable surge, crossing the $45,000 mark, fueled by investor optimism over the potential approval of a spot Bitcoin ETF. However, this optimism was short-lived as market sentiment turned bearish amid concerns over a possible rejection of the ETF by the SEC.
The cryptocurrency market is undergoing a significant downturn, possibly linked to the expected rejection of Bitcoin spot ETFs by the U.S. SEC. Matrixport’s analysis anticipates a sharp drop in Bitcoin’s value, potentially reaching $36,000. This forecast hinges on the SEC’s likely refusal of Bitcoin spot ETF applications in January.
Chairman Gary Gensler’s cautious regulatory approach, combined with the Democrat-led SEC panel, is adding to the market’s uncertainty. Despite this bearish short-term outlook, Matrixport expects a positive trajectory for Bitcoin in the long term, projecting a recovery above $42,000 by the end of 2024. The pending SEC decision is causing investor wariness, influencing the current market slump.
Matrixport, a cryptocurrency investment services firm, anticipates the U.S. SEC’s rejection of all spot Bitcoin ETF applications. The company cites the current SEC leadership’s cautious stance on crypto
