On Thursday, Bitcoin showed signs of recovery after a significant drop earlier in the week, where it fell more than 6% following the release of a pessimistic research report by Matrixport.
The report argued that the numerous pending applications for spot-bitcoin exchange-traded funds (ETFs), expected to be approved soon, would likely face rejection by US regulatory authorities.
Such a rejection would be a setback for Bitcoin investors looking forward to increased mainstream acceptance following the potential ETF approvals.
Despite this, the consensus among analysts remains optimistic about the US Securities and Exchange Commission (SEC) proceeding with these approvals. This would mark the first instance of Bitcoin being directly traded on regulated US exchanges.
The reaction to the Matrixport report highlights Bitcoin’s relative novelty as an asset class, where seemingly minor events can significantly influence market sentiment.
Nevertheless, the BTC/USD pairing managed a recovery of over 3% on Thursday, ending the trading session at $44,150.
However, the pair faced some pressure this morning, slightly declining towards $43,800 at the time of writing.
Bitcoin has maintained a growth of over 40% in the past six months, according to data from tradingview.com. Ethereum (ETH), meanwhile, has shown signs of recovery, gaining 2.6% to end Thursday’s trading session at $2,267.
During the Asian trading hours today, ETH/USD experienced a minor pullback, trading at $2,254 at the time of this report.
In contrast, most major altcoins were experiencing a downturn this morning. Solana (SOL) saw a decline of 3.5%, Ripple (XRP) fell by 2.2%, Cardano (ADA) decreased by 3%, and Dogecoin (DOGE) dropped by 1.4%.
The total market capitalization of cryptocurrencies globally is currently at $1.67 trillion, with Bitcoin’s market dominance nearing 53%.
The Bitcoin price is $43,832.56, a change of 2.23% over the past 24 hours as of 8:13 a.m.
