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7 months ago

🔎 WTF happened yesterday ?!

What caused yesterday's market crash?
Yesterday was a crazy day.

BTC dropped over 10% in a sudden flash crash. $540M was liquidated from the crypto market in just 4 hours, marking one of the largest liquidation events in a while.

Several factors seem to have led to this:

1️⃣Matrixport published a report asserting that the SEC will deny all pending applications for spot Bitcoin ETFs. But for now, the rejection of the spot BTC ETF applications is just a rumor.

2️⃣Funding rates hit historically high levels - whenever this happens due to excessive leverage, a market pullback usually follows to wash out the long positions

Speaking about the spot BTC ETFs, most ETF experts continue to believe that we’ll have at least one spot BTC ETF approved this month.

So the FUD spread by Matrixport might be unjustified.

But regardless of what happens, crypto has many other catalysts like the BTC Halving and FED rate cuts that lead me to believe that 2024 will be a good year for the market.