Peter Schiff says the launch day of the Bitcoin exchange-traded fund (ETF) could be more than just a “sell the news” event for the price of bitcoin.
Peter Schiff, a gold enthusiast, says it’s “likely” that we will see a significant drop in prices ahead of the key date for institutional investors.
In recent activity, long-time Bitcoin skeptics have sounded the alarm about recent gains in BTC prices.
Schiff bets on a “crash” in the price of bitcoin before the launch of the European Training Facility.
Bitcoin is a favorite subject of criticism for Peter Schiff, the chief economist and global strategist at Euro Pacific Asset Management. He believes that unlike gold, the value of bitcoin is expected to return to zero, and nobody wants to hold it except to sell it at a higher price later.
He points to what others say will be a turning point for cryptocurrencies – the launch of the first Bitcoin exchange-traded fund (ETF) in the United States. Approval is expected to come in early 2024, while rumors that the green light could come in November have fueled last week’s climb to over $37,000.
While some believe the announcement will be a “sell the news” event, where investors reduce their exposure once the certainty about exchange-traded funds arrives, for Schiff, a drop in bitcoin prices may not wait until then.
In an X survey conducted on November 9, two scenarios for a bitcoin “crash” – before and after the launch of the European Training Facility – were presented. Participants could choose “sell the news” or “buy and hold to the moon,” with the latter ultimately becoming the most popular choice, with 68% of nearly 25,000 votes.
However, Schiff remained steadfast in his position.
He responded, “Based on the results, I think Bitcoin crashes before the launch of the European Training Facility.”
“That’s why people buying the rumors won’t actually profit if they wait to sell the truth.”
The institutional mood is improving as the discussion of the European Training Facility seems increasingly in favor of bitcoin.
Among the latest optimistic price predictions for bitcoin is from AllianceBernstein, which last week forecasted a peak of $150,000 in the next cycle.
“We believe early inflows could be slower, and accumulation could be more gradual, and post-halving is the time when flows into ETFs can pick up momentum, leading to the cycle peak in 2025, not 2024.”
“The current BTC breakout is just news of an approved ETF slowly being priced in, and then the market monitors early external flows, and is likely to be disappointed in the short term.”
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