A Bloomberg analyst has raised doubts about a report from Matrixport, a digital asset management firm, which claimed that the US Securities and Exchange Commission (SEC) may reject several pending applications for a Bitcoin exchange-traded fund (ETF). The analyst, Eric Balchuna, questioned the credibility of the report and highlighted the lack of concrete information supporting the speculated denials. Balchuna also questioned whether the claim was based on insider sources or the personal opinion of Markus Thielen, the head of research at Matrixport.
Matrixport had earlier stated that it expects the SEC to reject the ETF applications due to various reasons, including the anti-crypto stance of SEC Chair Gary Gensler. The news of a possible rejection caused a sharp decline in Bitcoin’s price, resulting in losses of over $500 million for long traders within four hours. Bitcoin’s price briefly dropped to $41,500 before recovering slightly to $43,289 at the time of writing.
The losses incurred by traders indicate a bullish sentiment among those who were caught off guard by the sudden price downturn. Traders speculating on Bitcoin price accounted for around $160 million of the losses, followed by speculators on Ethereum price who lost nearly $110 million.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Global |
| Countries | |
| Sentiment | neutral |
| Relevance Score | 1 |
| People | James Seyffart, Eric Balchunas, None, Markus Thielen, Gary Gensler |
| Companies | Ethereum, CryptoSlate, Securities and Exchange Commission (SEC), CoinGlass, Matrixport |
| Currencies | Ethereum, Bitcoin |
| Securities | None |
