- On January 3, 2024, the price of Bitcoin experienced a sudden decline, plummeting to $41,500.
- Within the past 24 hours, liquidations surpassed $500 million as the leading cryptocurrency suffered a sharp collapse.
- At the time of writing, the asset is valued at $42,600.
According to TradingView, the rate of Bitcoin, the first cryptocurrency, dropped abruptly on January 3, 2024, to $41,500.
As of the time of this article, the asset is attempting to regain stability above $42,600. Coinciding with this news, the daily liquidation volume reached $539 million, as reported by Coinglass. The majority of losses were incurred by long positions, totaling $503 million.
The decline of Bitcoin had a negative impact on alternative cryptocurrencies as well. Within the past 24 hours, the value of most assets decreased by an average of 13%.
Matrixport analysts released a report on January 3, 2024, suggesting that the U.S. Securities and Exchange Commission (SEC) will not approve spot Bitcoin ETFs this month.
Experts predict that the SEC will grant registration to investment crypto funds only after fulfilling all agency requirements, likely to occur in the second quarter of 2024, as projected by Matrixport representatives.
In the event that the SEC does not approve applications for spot Bitcoin ETFs within a month, analysts claim that the crypto market could face cascading liquidations, potentially causing the Bitcoin price to fall to $36,000.
We previously reported on the active reduction of Bitcoin reserves by miners since October 2023.