According to Peter Schiff, the launch day of a Bitcoin ETF might have a more significant impact than just being a “sell the news” occurrence for the BTC price.
Bitcoin (BTC) has seen a decrease, currently trading at $37,191, and according to gold enthusiast Peter Schiff, it is highly probable that a substantial price decline will occur before an important date for institutional investors approaches.
In a recent development, the perpetual Bitcoin skeptic raised concerns regarding the recent price increases in BTC.
In a recent development, the enduring Bitcoin critic expressed apprehensions regarding the recent upsurge in BTC prices.
Bitcoin remains a favored subject of critique for Peter Schiff, who serves as the chief economist and global strategist at Europac, an asset management firm.
Over the years, he has consistently maintained that, unlike gold, Bitcoin’s value is destined to plummet to zero, and that its primary purpose for holding is merely to sell it at a higher price in the future.
Currently, as BTC/USD hovers around 18-month highs, he has shifted his focus to what some believe will be a pivotal moment for the cryptocurrency space – the introduction of the United States’ inaugural Bitcoin spot price exchange-traded fund (ETF).
It is anticipated that approval for the ETF will likely be granted in early 2024. Rumors suggesting a possible approval in November are believed to have contributed to last week’s surge in BTC prices, which crossed the $37,000 mark.
Although there are those who anticipate that the ETF announcement could lead to a “sell the news” scenario, with investors reducing their exposure once the ETF is confirmed, according to Schiff, a decline in BTC price might not even wait for that moment.
In a survey conducted on November 9, he presented two potential scenarios for a Bitcoin “crash” – one before the ETF launch and one after. Alternatively, respondents had the option to choose “Buy and HODL till the moon,” which ultimately emerged as the most favored choice, garnering 68% of nearly 25,000 votes.
Nonetheless, Schiff remained steadfast in his opinion, stating, “Based on the results, my guess is that Bitcoin crashes before the ETF launch.”
“That why the people who bought the rumor won’t actually profit if they wait for the fact to sell.”
When will #Bitcoin crash?
— Peter Schiff (@PeterSchiff) November 9, 2023
According to AllianceBernstein, the pricing of a Bitcoin ETF is gradually being factored into the market.
As previously reported by Cointelegraph, sentiment within the institutional sector appears to be improving as the ETF discussion seems to be leaning more favorably towards Bitcoin’s approval.
Related: Bitcoin ‘Terminal Price’ hints next BTC all-time high is at least $110K
One of the most recent bullish BTC price predictions comes from AllianceBernstein, which forecasted last week that Bitcoin could reach a peak of $150,000 in the next price cycle.
“We believe early inflows may experience a slower start, and the accumulation phase may progress more gradually. It’s after the halving that we anticipate ETF inflows gaining momentum, potentially culminating in a cycle peak in 2025 rather than 2024,” noted analysts, as quoted by MarketWatch and other sources.
The ongoing breakout in BTC can be attributed to the gradual pricing in of ETF approval news, and as the market observes the initial outflows, there may be short-term disappointment.
A chart that accompanied this analysis illustrated the historical and anticipated future behavior of BTC prices, based on halving cycles.
