BTC Price Index and Live Chart – CoinDesk”>(BTC) endured wild swings during Tuesday’s trading session as a U.S. Securities and Exchange Commission (SEC) social media post about approving spot bitcoin exchange-traded funds (ETF) turned out to be false, leaving market participants baffled.

BTC initially rallied 2.5%, reaching a new 19-month high at $47,900, immediately after the SEC’s official account was shared on X, formerly Twitter, about the approval of the bitcoin ETF. This garnered massive attention, with crypto analysts prematurely celebrating this landmark decision.

When it was revealed that the SEC account had been compromised, bitcoin dropped by nearly 6%, to as little as $45,100. SEC chair Gary Gensler then denied the news.

Read more: SEC has not approved Bitcoin ETFs but its Hacked X account briefly stated otherwise

CoinGlass data show that the wild price movement liquidated more than $50 million in derivatives trading positions at crypto exchanges in an hour. A liquidation occurs when an exchange closes a trader’s open position by using borrowed money because of a loss in margin.

Cryptoliquidations in an Hour (CoinGlass

BTC was trading at a price slightly below $46,000 as of press time. This is a 2% drop in the last 24 hours.

The second time in the same day, a false post on social media triggered massive volatility. DOGE Price Index and Live Chart – CoinDesk”>(DOGE) jumped as much as 9% on an X post about the death of the token’s mascot, then declined as the news turned out to be false.

Alex Kruger of Asgard Markets noted that today’s events suggest bitcoin might not rally quite as much as bulls hoped when the true news about an approval comes.

Kruger stated in an X message that “fake ETF reports showed BTC’s upside was clearly capped, until we saw actual ETF inflows.” “Time for ETH takeover.”

Aoyon A. Ashraf is the editor.