Polymarket ETF odds fell to 70%, BTC saw 8% flash crash amidst Matrixport prediction

Polymarket, a betting platform, saw a decrease in the odds of a spot Bitcoin exchange-traded fund (ETF) approval to 70% on January 3rd. This decrease might be attributed to a contrarian report from Matrixport analyst Markus Thielen, who suggested that the U.S. Securities and Exchange Commission (SEC) could reject all pending spot ETFs due to political reasons. Despite this, Polymarket’s odds still indicate a high chance of approval. In addition to the odds decline, Bitcoin experienced an 8% flash crash, dropping from $45,421 to $41,804. This crash could have been influenced by Thielen’s comments or positive remarks about Bitcoin from CNBC personality Jim Cramer, known for sometimes being incorrect. Bitcoin has partially recovered since then, currently priced at $42,967. The approval of a spot Bitcoin ETF is expected to have a significant impact on the market and may cause further price fluctuations.