Experts in the cryptocurrency market are warning that Bitcoin‘s price is unlikely to react sharply to the approval of spot Bitcoin ETF applications by the U.S. Securities and Exchange Commission (SEC). QCP Capital highlighted the lack of upward volatility in Bitcoin’s price in a market update on January 10th.
A hacker’s release of a fake official approval for the first U.S. spot Bitcoin ETF caused significant selling pressure on Bitcoin overnight. The SEC confirmed that the hacked post, shared via their official account, was due to a SIM swap attack and that two-factor authentication was not active at the time of the breach.
Following the incident, the SEC retracted the post and issued a denial. During this period, the BTC/USD pair managed to approach the $48,000 level but subsequently faced selling pressure. QCP Capital analysts suggest that even after official approval, Bitcoin investors may remain unresponsive due to the market having already priced in the approval.
QCP analysts shared that with the deadline for the ARK Invest ETF application on January 10th, an announcement was highly likely, considering the SEC’s historical pattern of approving all ETF applications simultaneously.
Amidst recent surges in Bitcoin’s chart, the $48,000 level has become a consensus target among investors. However, there is debate over the next developments, with some analysts predicting sideways movement and others foreseeing a significant correction to $35,000 or lower. Notably, analyst Il Capo of Crypto predicts a potential pullback to $12,000 in the future. As of writing, Bitcoin continues to trade at $45,131.