Bitcoin Down From Friday After Wall Street Authorizes Bitcoin ETFs

Despite the SEC’s approval of spot bitcoin ETFs, the cryptocurrency queen has not crossed $50,000 as some had hoped. On the contrary, it has been decreasing since Friday.

Bitcoin is in a small state this Monday, January 15th. The crypto queen is trading just above $42,500 at 10:00 a.m., losing 3% for the week. The asset even fell to the lowest level of the week at $41,700 during the night from Monday to Sunday.

American stock exchange supervisor, SEC (Securities and Exchange Commission), last Wednesday gave the green light to 11 asset managers, including Blackrock, to launch their spot bitcoin ETFs the next day. The SEC has been against these assets coming to market since 2013, making January 10 a historic day for investors. While bitcoin rose above $45,000 in the face of investors’ hopes for approval of these financial products, then climbed to $48,900 on the day of the approval, bitcoin has been falling since Friday.

Bitcoin Crash, Ether Explosion

Between last Wednesday’s high and Sunday’s low of $42,200, Bitcoin lost 13.8% of its value in one week. Conversely, other cryptocurrencies benefit from this trend, such as ether, which gained 13% in one week.

“Friday’s price drop comes as no surprise. Research firm Cryptoquant predicted last month that bitcoin would fall to $32,000 next month after the ETF’s approval, which would be a ‘business event.’ Selling the news,” CoinDesk points out.

Similarly, following the approval of his spot bitcoin ETF, Blackrock chief Larry Fink said on CNBC that he doesn’t think bitcoin will “ever be a currency. I think it’s an asset class.” A statement that may have left some investors cold.

On that note, and while predictions for the price of the queen of cryptocurrencies in 2024 are coming, the projections remain pessimistic for now. “Bitcoin’s recent momentum has failed to meet the expectations of many bitcoin maximalists, as the asset failed to break the $50,000 mark and the ETF hype shows signs of slowing down,” Swissblock analysts underline.

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