False SEC Announcement Triggers Brief Bitcoin Price Surge

Bitcoin experienced a brief surge in value after a post on the US Securities and Exchange Commission’s (SEC) Twitter account announced the approval of new cryptocurrency exchange-traded funds (ETFs).

However, the SEC later deleted the post and stated that its account had been compromised. The social media platform confirmed that the compromise was not due to a breach of its systems. The SEC is expected to officially announce the new ETFs later this week.

The false post was quickly circulated on social media and news outlets before the SEC’s chair, Gary Gensler, refuted the announcement on his Twitter account. The SEC confirmed that there was unauthorized access to its account, which has since been terminated. X, the social media platform, conducted a preliminary investigation and concluded that the compromise was not a result of a breach of its systems but rather due to an individual gaining control of a phone number associated with the SEC’s account through a third party.

Bitcoin’s price initially rose to nearly $48,000 before dropping back to around $46,000.

Investors eagerly await the SEC’s official announcement as it would signify a significant milestone for Bitcoin’s acceptance in mainstream financial markets.

Several asset management firms have applied for SEC approval for spot Bitcoin ETFs, which would allow investors to bet on Bitcoin’s performance without actually owning the cryptocurrency.

More from Qonversations

Tech Qonversation

Screenshot 2024 01 20 at 12.38.59

Why do electric vehicle batteries fail in cold weather?

Tech Qonversation

Screenshot 2024 01 15 at 08.35.19

The upgraded 2024 model of Tesla’s Model 3 is now available in the US

Tech Qonversation

Screenshot 2024 01 08 at 13.59.53

Apple settles class-action lawsuit over iPhone slowdown allegations

Tech Qonversation

Screenshot 2024 01 03 at 17.34.46 Large

Big carmakers lobbied UK to delay electric car rules