Bitcoin Jumps to $30K, Then Dumps, as False Spot ETF Approval Report Circulates

CoinGlass data shows that $72 million worth of short positions were liquidated on the move to $30,000 and $31 million in longs were liquidated during the correction.

Bitcoin (BTC) surged from $27,900 to $30,000 after a false report of a spot ETF approval was posted on social app X, formerly Twitter, leading to nearly $100 million in liquidations in the past hour.

The false post was deleted after nearly 30 minutes but sparked enough interactions to impact prices significantly. Bitcoin has since fallen from $30,000 to $28,000 following skepticism from analysts and reporters. BlackRock confirmed to CoinDesk that the report is false.

CoinGlass data shows that $81 million worth of short positions, or bets against higher prices, were liquidated on the move to $30,000, and $31 million in longs, or bets on higher prices, were liquidated during the correction. Liquidation refers to when an exchange forcefully closes a trader’s leveraged position due to a partial or total loss of the trader’s initial margin. It happens when a trader is unable to meet the margin requirements for a leveraged position (fails to have sufficient funds to keep the trade open).