Bitcoin Price Falls, Spot Bitcoin ETF Trading Volume Surges
Bitcoin price unexpectedly fell: Despite positive expectations for the U.S. Securities and Exchange Commission’s (SEC) approval of 11 spot Bitcoin ETFs, Bitcoin price unexpectedly fell to $41,900. The drop resulted in $338 million in liquidations in the market.
Comments from SkyBridge Capital CEO: SkyBridge Capital CEO Anthony Scaramucci attributed part of the decline to the liquidation of Grayscale Investments’ spot Bitcoin ETF GBTC and the bankrupt FTX exchange. He expects selling pressure to diminish within 6-8 trading days.
Cryptocurrency Value May Grow: Scaramucci’s prediction suggests that the value of Bitcoin and other cryptocurrencies may rise once selling pressure eases. Currently, Bitcoin is trading at $43,095, down 5.89%.
Spot Bitcoin ETF trading volume hits record highs: Cumulative trading volume for spot Bitcoin ETFs exceeded $7.5 billion on the second trading day, compared with $4.6 billion on the first day. This indicates strong investor interest in these new products.
Shifting trading preferences: According to Bloomberg ETF analyst Eric Balchunas, most GBTC trades have been sales, with investors switching to ETFs with lower fees. GBTC saw a net outflow of $100 million on day one, while ETFs from Bitwise, Fidelity, and BlackRock recorded significant net inflows.
