- 1 A fake tweet of a $210 Million meltdown serves as a reminder of the fragility of the crypto market.
- 2 It raises a mixed tone of disbelief towards the SEC account breach.
A fake news surfaced on social media platform X, formerly known as Twitter, which falsely claims approval of spot Bitcoin exchange-traded funds (ETFs). It made the bitcoin price experience dramatic volatility. The price was primarily affected by the fabricated SEC news.
The news properly increased the Bitcoin price by 3% and it reached a peak of $47,900 which is a 20-month high. However, the joy was short-lived and the news quickly unwind. It left countless investors baffled and disappointed.
What is the Impact of the Fake news?
The truth shattered the optimism amongst the marketers. The price of Bitcoin descended rapidly. It has raised uncertainty and queries regarding the Security and Exchange Commission’s stand on cryptocurrencies.
This highlights how misinformation on social media platforms can lead to price manipulation resulting in a volatile market. It also confirms the important requirement of checking the information and alert interpretation in the world of cryptocurrency.
Down the line, the calculation saw a substantial total of over $210 Million in liquidations. That includes $135 Million resulting from the closure of long positions and an additional $67 Million from short positions being liquidated.
The SEC Account Breach Leads to ETF Uncertainty
The SEC account breach leads to uncertainty about the organization’s ETF decision. Security experts are still searching for how the breach was caused. The market is blaming the SEC for creating the chaos. Legal experts blame the agency for market turmoil.
The supposedly secure SEC Twitter account raised a heated debate among security experts. A group of securities lawyers even suggested that the U.S. authority investigate itself for market manipulation.
Senator Bill Hagerty demanded answers from the agency. It highlights the requirement of accountability in the industry. Even Ripple CEO Brad Garlinghouse joined the chorus, adding his view to the growing result for self-investigation.
This has raised the question of whether the regulatory body finally gives the green light to Bitcoin ETF. The decision on this will lead to regulatory reforms and legal battles. That attracts the attention of marketers on how the U.S. authority will interact with the ever-evolving world of cryptocurrencies.
The news of the $210 meltdown raises the question of how the SEC interacts with the ever-evolving world of cryptocurrencies.
Now the agency faces increasing pressure to confirm the security and integrity of its
communications while also highlighting the complexity of the crypto market.
A fake SEC tweet results in over $210 Million in losses. The breach of the SEC Twitter account raises security concerns. The incident has increased the query among crypto enthusiasts about the U.S. regulatory authority’s stance on Bitcoin ETFs.
The event also highlights the need for better cryptocurrency market security. The market’s security is fragile and there is a huge requirement for robust security measures.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.