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Published: Jan 22, 2024 5 min read

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Illustration of a bitcoin falling from the sky
Money; Shutterstock

Bitcoin began the year primed for growth. Big things were on the horizon in 2024 — including the long-awaited approval of bitcoin spot ETFs. But the cryptocurrency community notched that victory in early January, and bitcoin isn’t hurtling into the stratosphere. In fact, it has lost $7,000 in value since the news broke.

The decline of bitcoin prices despite this recent development might come as a surprise to some, but it’s actually a great example of a broader financial phenomenon in which investments perform poorly in the face of good news.

Here’s why that happens — and what you should know about buying bitcoin right now.