Bitcoin Prices Fall, Mining Stocks MARA and RIOT Drop 10%, Boosts 'Sell News' Calls for ETFs

Bitcoin (btc) It fell to nearly $43,000 on Friday, down 6% in intraday trading, while some bitcoin mining stocks fell more than 10% to extend yesterday's decline after the long-awaited spot Bitcoin ETF debuted on Thursday.

The largest cryptocurrency by market cap fell to a low of $43,200 during the US trading session, down from around $46,000 earlier in the day and 11% below the two-year peak it hit on Thursday of $49,000, CoinDesk data showed.

Cryptocurrency-adjacent stocks also suffered a significant decline, with miners Marathon Digital (MARA) and Hot 8 (HUT) both recording declines of more than 10%. Shares of Riot Platforms (RIOT), another Bitcoin miner, fell 8%. Coinbase, the cryptocurrency exchange that plays a major role in many bitcoin ETFs, also saw its stock price decline by 6%.

This decline occurred one day after the launch of bitcoin exchange-traded funds (ETF), marking an important milestone for the industry. Bitcoin ETFs are traditional financial instruments that may allow retail investors to gain exposure to the price of Bitcoin more easily.

Friday's price drop may not be surprising; Research firm CryptoQuant last month forecast that bitcoin would fall to as low as $32,000 the following month after European Investment Corporation approval, a “sell-off news” event.

It is worth noting that previous historical events such as Coinbase's stock market listing in April 2021 and the debut of the futures-based Bitcoin ETF (BITO) in October 2021, occurred near a major peak in cryptocurrency prices, which may portend cold prices in the future. .

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