Bitcoin‘s price experienced a volatile surge to approximately $48,000 before dropping to around $45,000, triggering speculation and caution within the crypto community. The sudden fluctuation was initiated by a misleading post announcing the approval of Bitcoin ETFs from a hacked SEC account.
Prominent Bitcoin critic Peter Schiff offered a cautionary perspective amidst market frenzy, focusing on the potential disappointment following the anticipated real Bitcoin ETF approval and the recent turbulence.
Schiff suggests that the hack-induced price spike and subsequent correction could be the start of a more significant market downturn, challenging the conventional optimism surrounding the expected ETF approval and warning investors about the unpredictability of market reactions.
In line with a general bearish sentiment on Bitcoin, Schiff advises investors to consider selling today rather than waiting for potential disappointments upon actual ETF news. His viewpoint resonates with investors prioritizing risk aversion and seeking to minimize unnecessary exposure.
Schiff’s warning introduces the concept of a potential “overbought” scenario, where the excitement leading to approval may have already been factored into the market, possibly triggering profit-taking rather than a continued buying frenzy. This cautious stance underlines Schiff’s belief that market dynamics may not align with the bullish expectations associated with ETF approval.