The recent fake approval post from the SEC on a Spot Bitcoin ETF caused significant turmoil in the crypto market, affecting the Open Interest (OI) of both Bitcoin and Ethereum. This event also led to a volatile day for Bitcoin prices and a notable drop in Bitcoin Futures Open Interest.
In the midst of the decline in Bitcoin OI, Ethereum Futures Open Interest experienced an unprecedented surge, signaling a shift in market sentiment.
In the wake of the controversy surrounding the unauthorized post on the SEC’s official handle, falsely claiming approval for a Spot Bitcoin ETF, SEC Chair Gary Gensler clarified that no such approval had been granted, revealing a compromised official handle. This misinformation stirred up excitement among crypto enthusiasts before being quashed by Gensler’s announcement.
As a result, the crypto community expressed strong disapproval, accusing the U.S. SEC of market manipulation. According to CoinGlass data, Bitcoin Futures Open Interest declined by 3.29% over the last 24 hours, reflecting the impact of the misleading information on investor confidence.
Conversely, while Bitcoin experienced a downturn, Ethereum emerged as a resilient player in the market. Ethereum Futures Open Interest surged by 12.08% over the past 24 hours, reaching 3.33 million ETH or $8.05 billion. This surge was observed on various platforms, with Binance recording a 10.39% increase and Bybit experiencing a remarkable 16.07% jump in Ethereum OI.
The recent market turbulence attributed to the SEC controversy led to a 1.14% decrease in the global crypto market cap, which stood at $1.71 trillion, while the trading volume increased by 2.81% to $83.95 billion.
The price of Bitcoin was down by 3.74% to $44,915.91, following a high of $47,898.70 in the last 24 hours. Meanwhile, the price of Ethereum saw gains of 3.17% over the last 24 hours, trading at $2,371.42, with a high of $2,410.96.
Evidently, this divergent performance between Bitcoin and Ethereum indicates a dynamic shift in investor sentiment. While Bitcoin grapples with the aftermath of the fake spot Bitcoin ETF approval saga, Ethereum appears to be gaining momentum, attracting renewed interest and investment within the crypto space.
