Schiff’s Warning Signals
Peter Schiff, the prominent gold advocate and Bitcoin skeptic, has thrown his hat into the ring again, claiming that Bitcoin (BTC) is poised for a significant price drop before a crucial date for institutional investors. Schiff, known for his unwavering criticism of Bitcoin, warns that with BTC’s price approaching 18-month highs, expectations around the upcoming Bitcoin spot price ETF approval could lead to greater disappointment.
The Anticipated ETF Approval
The Securities and Exchange Commission (SEC) is expected to announce the first-ever Bitcoin spot price ETF approval in early 2024, with whispers about a potential green light as early as this November. Last week, speculation surrounding this approval helped push Bitcoin’s price past the $37,000 mark. But is it too good to be true?
Schiff’s Take on Price Trajectories
Schiff recently conducted a survey on social media, showcasing two scenarios for a potential Bitcoin price crash: one occurring prior to the ETF launch and another occurring post-launch. Interestingly, a majority of respondents—68%—voted in favor of holding on to their BTC until it soars. However, Schiff isn’t convinced and suggests that those who ‘bought the rumor’ may cash out too late if they wait for the factual approval to sell.
“Based on the results, my guess is that Bitcoin crashes before the ETF launch,” Schiff remarked. “The people who bought the rumor won’t actually profit if they wait for the fact.”
Institutional Macroeconomic Landscape
The mood among institutional investors is reportedly improving, with growing optimism surrounding the ETF debate. According to analysts from AllianceBernstein, the allure of the ETF is slowly being integrated into the market prices, creating a sense that the upcoming approval is factored in already.
Future Forecasts
Recent forecasts speculate that while Bitcoin might reach staggering peaks of around $150,000 in the next cycle, investors should brace for a gradual uptick post-halving. Analysts believe that these early flows could spark a gradual build-up rather than immediate results. Thus, Schiff’s predictions stand in stark contrast to the hopeful outlook of bullish market analysts.
