$BTC Matrixport reveals a report stating that the U.S. Securities and Exchange Commission (SEC) is likely to reject spot Bitcoin ETF applications, triggering a panic sell-off. Cryptovizor shows a more than 13% drop in Bitcoin, hitting a low of $39,501, followed by a rebound to $42,435.

Coinglass reports $509 million worth of long positions liquidated. Despite no concrete evidence, Matrixport's report impacts Bitcoin's price. ETF experts at Bloomberg express 90% confidence in a positive decision, while analyst Scott Melker sees the report as a reason for leveraged position closures. Michael van de Poppe notes the significance of spot Bitcoin ETF, cautioning against market manipulation. If SEC denies approval, Matrixport anticipates a 20% Bitcoin price drop to $36,000-$38,000. The official SEC approval window opens on January 4 and closes on January 10.