Bitcoin (BTC) has continued to drop in price and is now trading for below $40,000 per coin.

CoinGecko data shows that the price of the biggest cryptocurrency by market cap is now priced at $39,754, having shed nearly 5% of its value in 24 hours.

In the past week, it's dropped by over 7%.

The price dip comes less than two weeks after long-awaited investment vehicles that bring crypto to Wall Street were approved: spot Bitcoin exchange-traded funds.

10 Bitcoin ETFs, which allow investors to buy shares that track the price of the digital asset, started trading on January 11.

Bitcoin
BTC
+12.96%$107,320.21
24H7D1M1YMAX
Created with Highcharts 10.3.3Apr 30May 2May 4May 6May 8May 10May 12May 14May 16May 18May 20May 22May 24May 26May 28$90000$95000$100000$105000$110000$115000
Price data by
Prix de BTC

Analysts were torn over whether the price of BTC would shoot up or sit still as a result of the long-talked about approval.

One day after the U.S. Securities and Exchange Commission approved the funds, BTC nearly touched $49,000 for the first time since 2021.

But it has since taken a nosedive.

Image: Shutterstock

Bitcoin ETF May Actually Boost BTC Price as Analysts Flip on 'Sell the News' Fears

For the last few weeks, conventional wisdom has forecasted that the highly anticipated, likely imminent approval of a spot Bitcoin ETF in the United States would be a “sell the news” event—or one that, despite its apparently positive impact on Bitcoin, would likely cause the cryptocurrency’s price to fall in the immediate term as traders exited their BTC positions at the crest of ETF hype.  Now, conventional wisdom is changing its tune.  On Tuesday, K33 Research revised its outlook on the matter...

ActualitésMarchés
3 min de lecture
Sander Lutz

BTC's current dip widely attributed to money coming out of the ETFs—particularly Grayscale's Bitcoin Trust. Before, the fund traded like a closed-end investment vehicle, and it was difficult for investors to redeem their shares.

Though following its conversion to a spot BTC ETF and investors have been cashing out fast. Grayscale is sending billions of dollars in BTC to its custodian, Coinbase, which is leading to downward pressure on the price of the cryptocurrency.

The rest of the crypto market isn't looking good, either. Ethereum (ETH) is down more than 6% in the past 24 hours, and is trading hands for $2,336.

Ethereum
ETH
+45.17%$2,645.17
24H7D1M1YMAX
Created with Highcharts 10.3.3Apr 30May 2May 4May 6May 8May 10May 12May 14May 16May 18May 20May 22May 24May 26May 28$2000$3000$1500$1750$2250$2500$2750
Price data by
Prix de ETH

While Solana (SOL) has shed more than 9% of its price in a day. The coin—which is the fifth largest cryptocurrency by market cap—is now priced at $83.86.

Edited by Ryan Ozawa.

Daily Debrief Newsletter

Start every day with the top news stories right now, plus original features, a podcast, videos and more.