Bitcoin Massive Price Drop Amid Bitcoin ETF Approval: Binance and Kaiko Reported

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After Bitcoin ETF approval, a different craze was seen in the cryptocurrency market where Bitcoin holders started selling their Bitcoins, and that too for temporary profit which significantly impacted the price of Bitcoin. Since then selling pressure has increased on the Binance according to the data reported by Kaiko.

The day when Bitcoin ETF trading began, Bitcoin nearly witnessed a price surge up to $48, 975 and now after a massive liquidation of $50 million, Bitcoin is currently trading at $42,820.

Selling Pressure At its Point

The Bitcoin ETF approval made headlines the day when it was approved by the SEC, after many anticipations and predictions. The approval resulted in a two-year high in Bitcoin price and since then it has fallen around 12% due to more selling happening in giant exchanges like Binance, OKX, and Upbit.

Despite this, Binance’s spot market CVD showed positive signs last week showing capital outflow equal to nearly 5,000 BTC. Upbit has witnessed the second largest net capital outflow which is reported by Itbit and OKX.

What did this happen?

Due to the high anticipation among analysts, the craze among investors to buy Bitcoin surged when the Bitcoin ETF approval was on the horizon. Investors who bought Bitcoin expecting that ETF approval would boost the price of Bitcoin sold their holdings later for the temporary benefits and this resulted in high selling pressure.