Bitcoin (BTC) experienced significant price fluctuations recently, but long-term HODLers remained unfazed by the market turbulence as highlighted by CryptoQuant, an analytic platform. While rumors of the Securities and Exchange Commission (SEC) rejecting a spot Bitcoin ETF circulated, experts suggest that this was not the primary cause of the sudden drop in BTC’s price.

On the verge of celebrating its 15th birthday on January 3, Bitcoin faced a nearly 9% decline, leading to approximately $514 million worth of crypto-long liquidations, according to CoinGlass. The price drop coincided with a report from Matrixport, a crypto financial services platform, which claimed that the SEC was likely to reject the spot ETF proposal.

The SEC’s approval window for the ETF begins on January 4 and extends until January 10. However, despite Matrixport’s claim, traders and analysts showed skepticism regarding the report’s reliability. One prominent figure in the crypto space, Scott Melker, found it challenging to understand the basis for the firm’s perspective. He emphasized that Bitcoin’s sell-off was not directly linked to the ETF denial report.

Crypto-focused litigator Joe Carlasare echoed this sentiment, stating that Bitcoin’s price drop was not driven by the ETF news. Carlasare’s remarks highlighted that such price fluctuations are not uncommon in a bullish Bitcoin market.

Matrixport itself predicted that a potential SEC rejection might lead to a modest further decline in BTC’s price. They suggested that a denial could trigger cascading liquidations, particularly among the $5.1 billion in additional perpetual long Bitcoin futures.

While an approved ETF could potentially boost the entire cryptocurrency market, it’s crucial to note that the market’s dynamics are influenced by various factors, and attributing a significant price movement solely to ETF news may oversimplify the situation. As the crypto community awaits the SEC’s decision, investors and analysts continue to monitor the market for further developments that may impact Bitcoin’s price trajectory.