The price of Bitcoin has surged in a recent breakout, quickly reaching $35,000 this month. However, the founder and global strategist of Euro Pacific Capital doesn’t believe this rally will last.
This month, rumors have been spreading about the highly anticipated approval of a Bitcoin ETF spot by the SEC (U.S. Securities and Exchange Commission). The excitement surrounding this news has driven the trading volume of Bitcoin to skyrocket on cryptocurrency exchanges.
But let’s leave the doomsday scenarios to “Dr. Doom” (a nickname given to Peter Schiff by CNBC during the real estate bubble era) when it comes to sudden shifts in Bitcoin’s fate.
Schiff recently commented that the SEC’s eventual approval of a Bitcoin ETF spot will mark the end of the price surge. The head of EuroPac noted that once BTC is truly approved for an ETF spot product, the excitement will wane.
He also highlighted the possibility that cryptocurrency traders may begin to sell off and take profits ahead of any upcoming SEC approval. In a post on X, Schiff wrote:
“Bitcoin is currently trading at $35,000 as speculators bet on SEC approval for GBTC to convert to an ETF. Such approval could mark the top of the price surge if Bitcoin is not sold off before it is approved. The sell-off would be less severe if the ETF conversion is denied again.”
Time will tell whether he’s correct. Bitcoin’s price has gone parabolic in the 48 hours following Schiff’s tweet.
Interestingly, Schiff explained that another SEC rejection would provide some short-term support for Bitcoin’s price. It seems he’s speculating that some Bitcoin investors will hold onto their holdings despite the negative news of rejection. They will continue to anticipate another price surge either before or after SEC approval.
To answer the next question on the topic, “How much Bitcoin do you own?” Peter Schiff replied, “None.”