Bitcoin price plummets $4K, report claims SEC to reject BTC ETF — The chaos explained

If you're wondering what on Earth Happened with Bitcoin yesterday I've got You Covered good morning you're listening to The ryzen crypto podcast by coin Telegraph with me Robert bags stirring You through the crypto Cosmos with daily Dispatches from the digital Frontier if You want to know more about crypto than That annoying friend make sure you click That follow button okay grab yourself a Coffee and let's get into It okay so today's episode will mostly Be focused on the chaos that happened Yesterday I'll be looking at how Bitcoin Fell nearly $4,000 in Just 2 hours as Well as the reports doing the rounds That the spot Bitcoin ETF applications Are going to be rejected by the SEC Finally we will look at the worrying Growth of salana wallet drainers as well As an illuminative report on crypto Hacks in 2023 so you know I don't like to discuss Price too much as it ages so poorly but Some price incidents are so significant They need to be unpacked and what sort Of daily debrief wouldn't mention Yesterday's Bitcoin chaos so if you are A bit of a crypto dork like me yesterday Your phone lit up with push Notifications that Bitcoin was suddenly In freefall after weeks of gentle Incline the market decided it was time

To bring about a cardiac event in Bitcoin holders what made this so Jarring was that we have more or less Only seen positive news about the spot Bitcoin ETF applications and at the Moment the price does seem tied to that News which is why a near 4,000 ,000 Price drop in Just 2 hours was caused For concern and also while those Scrambling to find the Catalyst for this Dip landed on mrix Port on the 1st of January this year Matrix port a digital Asset platform was shouting Bitcoin Positivity from the rooftops they Tweeted anticipate a substantial Bitcoin Surge to $50,000 in January driven by an Imminent spot Bitcoin ETF approval Institutional buying and factors such as Supply shortage and historical Trends With potential for altcoin season and Funding rate reaching plus 66% 24 hours Later Matrix Port updated its forecast With a whiplash inducing U-turn in their Report that is widely being cited as the Root cause of the price hit the Executive summary says while we have Seen some frequent meetings between the ETF applicants and the staff from the SEC which resulted in the applicants Refiling their applications we believe All applications fall short of a Critical requirement that must be met Before the SEC approves this might be Fulfilled by q22 24 but we expect the

SEC to reject all proposals in January It goes on to mention Gary gendler's Anti-crypto comments in December and Says from a political perspective there Is no reason to approve a Bitcoin spot ETF that would legitimize Bitcoin as an Alternative store of value the report Then goes on to outline the Fallout of An SEC blanket rejection naturally some Questions were being asked the Bitcoin Investor Alistair mil questioned whether An agenda was in play highlighting that Matrix Port was co-founded by the Chinese crypto entrepreneur billionaire Xihan wo Eric balinas the Bloomberg ETF Analyst and one of the most plugged in People to this spot Bitcoin ETF Application process was also skeptical He said we have heard nothing to Indicate anything but approval but I Want to give the guy the benefit of the Doubt so I'm asking if he has any Sources or if he is just speculating at The time of recording this we still Haven't found those sources if indeed They do exist but since the articles About this that I've Linked In the show Notes xihan wo has tweeted to say Matrix Port analysts operate independently Expressing their opinions without any Influence or interference from Management adding that as intended this Recent report was prepared for Matrix Port's clients however its widespread by

The media was not planned by matrix port And is beyond our control well in the Aftermath many analysts believe that Matrix port's report had little to do With the Swift plummet William suberg Did some analysis on this and I've Linked it in the show notes below the Trader and analyst Scott melker said of The report this is really just a Leverage flush regardless this is an Opinion with zero new information that Flies in the face of everything shared By experts are you guys that skittish That last line really does resonate with Me one or two negative reports from Entities that appear completely separate From the spot Bitcoin ETF applications Causing half a billion dollars of crypto Long liquidations that just doesn't scan In reality I think the crypto litigator Joe caros is closer to the Mark when he Tweeted I know people are desperate for A narrative but Bitcoin didn't sell off Because of some silly report about ETF Denial it sold off because nothing goes Straight up and it's an easy grab for Liquidity to do a long squeeze in short The market was overbought so the report By matrix Port that sent everyone into a Frenzy traces back to 10x research and Its CEO Marcus Tian the gap between the Positive and the negative forast was Indeed a day but tan stated on X that he Just changed his view which is fair

Enough by the way the only caveat I Would add is that it feels as if he has Come into new information the 10x Research paper that was published Yesterday said the prevailing onesided Market consensus anticipates SEC Approval of spot Bitcoin ETFs by next Week we however see an opportunity to Trade against consensus emphasizing the Risk involved in positioning ahead of Events with significant price Implications trading against the Consensus is all well and good but what Everyone wanted to know is why the Outcome of the research had changed Eric Balcon has tweet twed at 10x research And Tian asking if the prediction was Off the back of comments from issuers or Insiders in the SEC or just an opinion Ton responded my report is not based on Issuers nor on SEC Insider comments Obviously this is massively out of Consensus but I do think the SEC will Vote it down and yes after being the Biggest bull all year predicted $45,000 By Christmas on February the 1st I Turned bearish today but the arguments Were ready it's worth noting that Although Tan's research has garnered a Lot lot of attention on social media the ETF experts making predictions are still Overwhelmingly positive and as telan Says he is going against the grain on This I'd also like to repeat an

Observation I highlighted in yesterday's Episode as balcon has rightly pointed Out if the SEC outright rejected all of The spot Bitcoin ETF applications at This late stage and after this many Weeks of amendments and work there'll Likely be lawsuits against them similar To grayscales for further Comfort elanar Terret of Fox Business yesterday Published a piece that claimed the SEC Was meeting with the various exchanges The New York Stock Exchange NASDAQ Etc To finalize comments on the 19B 4S Submitted by the spot Bitcoin ETF Issuers the piece also added that Sources close to the proceedings say the SEC could begin notifying issuers of Approval on Friday with trading Beginning as early as next week as for Bitcoin at the time of recording this It's nearly rebounded from whence it Fell so that's yesterday's chaos explain To you as we near that 10th of January Deadline things are getting tense Needless to say yesterday was Predominantly focused on bitcoin's flash Crash and the Rumblings of rejection but There were a few other stories worth Knowing too the first involved salana Salana was dubbed as down and out when FTX fell due to the tires between the Two but it couldn't have been further From the truth in actuality salana has Been growing steadily again during the

Crypto winter and has gone parabolic in The past 3 months with the price of Soul Surging 400% not to mention the Myriad Meme coins that have been going viral You you might remember from last week That a risky Trader made Millions from One of them but where the money is Flowing hackers and scammers Sail on the Riptide and a recent report from Chainalysis has warned just that one of The most worrying elements in the salana Ecosystem at present is the rise in Popularity of wallet drainer kits tools Used to fish and siphon the funds from Victims wallets chainalysis senior Intelligence analyst Brian Carter told Coin Telegraph that the largest Community devoted to one salana drainer Has about 6,2 200 members it's not just Chainalysis setting off the sirens Either blockade tweeted as salana Continues to gain popularity draer Groups are increasingly moving towards It as indicated by the growing numbers Of malicious salana daps detected by Blockade and wallet guard updated their Web3 security extension 2 saying we have Detected a new salana wallet drainer kit Being actively distributed this is Targeted at popular meme coins such as Bonk Jupiter chunky Galactic geckos and Dog with hat I do hate saying meme coin Names out loud so salana users check Your transactions several times and

Don't click links you don't know because Of Fomo and one more brief story to end and It's in the polar opposite direction to What we've just discussed I bring you up To speed with a lot of the major hacks In the space as they important to know About but that could skew your Perspective of scams and hacks in crypto Mistakenly believing they're getting Much more frequent yesterday certic the Blockchain security firm released an Annual report on web 3 security the Headlines are terrifying as always with $1.8 billion of digital assets lost Across 751 security incidents in 2023 However there is an important and Mitigating Factor here that number is 51% lower than 2022 when it was $3.7 Billion that is a massive drop and Particularly as most tokens are worth More this year than they were in 2022 Rong goo the co-founder of certic told Coin Telegraph that this is a positive Development and that the growth of bug Bounty platforms and other proactive Security measures is a good sign Hopefully we will see a continued Decline in losses throughout 20124 Indeed let's hope this downward Trajectory Continues okay I know that was a heavy Episode today but I wanted to try and Untangle everything that was happening

Yesterday as bitcoin's price was in Freefall many of us were scrambling Around trying to figure out why although It's still not completely clear there Was so much conflicting information that It was difficult to work out what was Going on so hopefully that explains some Of the stories that were being thrown Around yesterday and with that consider Yourself informed thank you for Listening to the ryen crypto podcast by Coin Telegraph if you're enjoying these Daily updates please make sure you let Us know by following subscribing or Leaving a review have a great day let's Do this again [Music] Tomorrow