Benzinga - What Happened: On Tuesday, influential investor Peter Schiff expressed his skepticism about the anticipated demand for a new Bitcoin ETF. He suggested that the number of Bitcoin (CRYPTO: BTC) speculators ready to sell far outpaces the would-be buyers waiting for the ETF.
Schiff’s post on X, formerly Twitter, comes amidst high speculation around a possible Bitcoin ETF approval by the Securities and Exchange Commission (SEC). The frenzy surrounding the approval has led to the apex cryptocurrency shooting up 19.9% over the week. At the time of publishing it was seen trading nearly 1.1% higher intraday at $33.979.26.
Bitcoin speculators have over-estimated the demand for a new #BitcoinETF. It's hard to believe that with so many existing ways to gain exposure to #Bitcoin, that there's a large group of would-be buyers who've been waiting to buy. It's Bitcoin owners who've been waiting to sell.— Peter Schiff (@PeterSchiff) October 24, 2023
See Also: Bitcoin Tops $31,000, BlackRock Lists iShares Bitcoin Trust: Will Institutional Investors Jump On Board?
Previously, Schiff had warned about the potential risks ahead for Bitcoin speculators, especially in light of the enthusiasm around the Bitcoin ETF.
Why It Matters: Earlier this week, Schiff noted that Bitcoin was trading around $34,250, with speculators betting on the SEC’s approval of the Grayscale Bitcoin Trust (GBTC) converting into an ETF.
He warned that such conversations could potentially mark the peak of the Bitcoin rally and lead to a sell-off. Schiff’s recent tweet seems to echo these concerns, suggesting that the anticipated demand for the Bitcoin ETF may be overestimated and could lead to a potential sell-off as existing Bitcoin owners are waiting to sell.
Photo Courtesy: Wikimedia Commons
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