As reported by NewsBTC on Thursday, the U.S. SEC rejected a revised proposal for a Bitcoin ETF backed by the Winklevoss Twins. The market immediately took a dive, with Bitcoin and a majority of altcoins posting 4-5% losses on the day. The rapid move downwards led some to ask “was this decline really warranted or was it all an overreaction?”
As aforementioned, the market didn’t initially react in kind to the SEC’s decision regarding the Winklevoss-backed exchange-traded fund (ETF). In the hours following the release of a ninety-two-page report highlighting the reasons for rejection, Bitcoin fell to a daily low of $7,800 from $8,200. Despite the verdict only directly affecting a Bitcoin-based ETF, altcoins closely mirrored Bitcoin, posting similar losses.