Bitcoin drops below $30k as SEC deems spot Bitcoin ETF filings insufficient.

  • The price of Bitcoin reacted strongly to the news that the Securities and Exchange Commission (SEC) stated that the filings for Bitcoin ETFs were insufficient.
  • Reportedly, the SEC returned the filed documents to BlackRock and Fidelity.
  • However, Bitcoin recovered and rose above $30,000 as more details emerged.

On Friday, Bitcoin briefly crashed to below $30,000 within minutes after the SEC reportedly informed Nasdaq and the Cboe that the recently filed spot Bitcoin ETFs by BlackRock, Fidelity, and other Wall Street giants were “not clear and comprehensive.”

According to reports, the regulator has returned the spot ETF documents.

The market’s reaction to the initial news by the Wall Street Journal was swift, with Bitcoin falling to $29,790 and Ethereum dropping below $1,840.

According to the Wall Street Journal, the U.S. SEC stated that the filing of spot Bitcoin ETFs was insufficient, and regulators informed Nasdaq that recent filings by companies such as BlackRock and Fidelity were not clear and comprehensive. The SEC returned the documents.

— Wu Blockchain (@WuBlockchain) June 30, 2023

“Affected by the news, the market crashed within 30 minutes. Bitcoin fell by more than 5% to below $30,000, Ethereum fell by more than 4%, and BCH and COMP, which had a significant increase today, fell by more than 10%. Coinglass data shows that in the past hour, the liquidation of the entire network exceeded $84 million,” tweeted Blockchain news reporter Colin Wu.

However, it was reported that BlackRock and other asset managers only needed to refile their applications correctly, and Bitcoin moved back above $30,000. Crypto analyst Will Clemente noted:

Think the market is overreacting here, seems like the “denial” is just a technicality and Blackrock/Fidelity just have to refile naming Coinbase as the exchange that they have a “surveillance-sharing agreement” with

— Will Clemente (@WClementeIII) June 30, 2023