Opinion Article: Matrixport Report Causes Bitcoin Price Plunge, What’s the Truth?
Market observations this week: Matrixport’s report caused a plunge in the Bitcoin price, but what is the truth behind it?
The overall cryptocurrency market dropped from 45,500 to a low of 40,500 around 6:30 p.m. on January 3rd, with a decline of over 10% within two hours. Other altcoins experienced even more astonishing drops, and users who did not set stop-loss orders in their contract trades were highly likely to be liquidated.
Afterwards, many people started searching for the reasons behind this drop, and the blame was pointed towards the investment institution Matrixport’s report, which was released earlier on January 3rd. The report indicated that the possibility of the SEC approving a Bitcoin spot ETF is quite low, and it mentioned other political factors such as Chairman Gary’s unfriendly attitude towards cryptocurrencies and the Democratic Party.
However, the author believes that attributing this drop solely to Matrixport’s report is simply using it as a scapegoat, and there are two reasons for this:
1. Influence of Matrixport’s report:
There are numerous investment research reports in the market, and almost every investment institution publishes their own reports. Currently, there are thousands of investment institutions in the cryptocurrency market. Can every report really be taken seriously by the market? The author believes that only top-tier investment institutions like A16Z, Messari, Delphi Digital, and Coinbase Venture can truly draw significant attention from the market. The influence of Matrixport remains to be seen.
2. Rigorousness of the report content:
This report is less than 500 words long. While it is true that the value of a report is not solely determined by its word count, the content of this report seems to fall short of being a comprehensive analysis and appears to be more of a condensed result based on the analyst’s personal subjective feelings.
The market drop is an undeniable fact, but it is fortunate that it did not further expand and instead showed a trend of rebounding. The recent high funding rates have also been reset, which has slightly cooled down the speculative atmosphere and is healthier for the future development of the market.
Weekly Industry News Recap
Goldman Sachs May Play a Crucial Role as Bitcoin Spot ETF Launches
According to Coindesk, two sources revealed that Goldman Sachs may play a key role in the process of BlackRock and Grayscale launching a Bitcoin spot ETF in the United States. The sources disclosed that the bank is in negotiations to become an authorized participant in the exchange-traded fund. This is one of the most important tasks in the ETF industry, involving the creation and redemption of ETF shares to ensure that the product trades in sync with its underlying assets.
Solana’s Monthly NFT Trading Volume Surpasses Ethereum’s for the First Time, Reaching Approximately $370 Million
According to data from analysis platform CryptoSlam, in December 2023, the monthly sales volume of NFTs on the Solana network exceeded that of NFTs on Ethereum for the first time, reaching approximately $366.5 million, while Ethereum’s NFT sales amounted to $353.2 million. In addition, the number of independent buyers and sellers on Solana doubled in December, and the total number of NFT transactions increased significantly. According to the CryptoSlam report, there are approximately 218,000 sellers and 279,000 buyers on Solana, involving nearly 6.6 million NFT transactions. In comparison, Ethereum has approximately 114,000 sellers and over 143,000 buyers, involving 698,000 transactions.
New Year Fireworks! How Did TRB Bulls and Bears Do It?
Tellor (TRB) experienced a roller coaster ride in the past 24 hours, with its price experiencing a surge and fall comparable to price manipulation. As a result, the cryptocurrency surged to over $600 later in 2023 and then dropped to $137. According to data from CoinGlass, TRB had more liquidation positions than any other cryptocurrency during this period. In the midst of manipulation rumors, whales exited their long and short positions. For detailed operating methods, please refer to AI Coin’s Twitter.
Opinions presented in this article do not represent the position of “WEB3+”
This article is licensed and reprinted from “Pionex Industry Weekly Report”
Proofread and edited by Gao Jingyuan.
