Vladislav Sopov
Crypto Banter's Ran Neuner, CNBC expert and veteran cryptocurrency commentator, expressed optimism about the potential impacts of ETF approval.
Read U.TODAY on
Google News
While the majority of experts and analysts are optimistic about the potential impacts of SEC approval of a Bitcoin ETF, some speakers point to the potential threats it could bring, especially in the medium term. Is the euphoria surrounding the Bitcoin ETF overdone?
ETF approval will be a 'sell-the-news' event for altcoins, says Ran Neuner
The weakness in altcoins across all sectors is evidence that the market is treating the potential approval of US ETFs as a “sell the news” event. As such, a painful correction could begin very soon, says Ran Neuner, founder of Crypto Banter on X.
He added that this significant weakness is a clear signal that the ETF trading that has been pumping the market for 203 days is now over. In the attached chart, it shows that this madness began on June 16, 2023, with US heavyweight BlackRock applying for an ETF.
Once this narrative completely loses momentum, cryptocurrency markets may undergo a painful 20% correction. For example, this could cause the price of Bitcoin (BTC) to fall to $35,000 and the price of Ethereum (ETH) to fall below $1,800.
At the same time, the general trend remains bullish on higher time frames: a possible “exit” of only 20% will signal the beginning of the “next stop” of the crypto rally.
Since the announcement Neuner mentioned, the total value of cryptocurrency markets has jumped by approximately 65%.
Why Bitcoin ETF Approval Might Be Bad for Cryptocurrencies?
Ran Neuner is not the only cryptocurrency expert anticipating the bad effects that Bitcoin ETF approval could bring to the digital asset space.
BitMEX founder Arthur Hayes admitted that a Bitcoin ETF could be dangerous for the nature of the cryptocurrency because it makes it another “classic” asset, reducing interest in physical Bitcoin.
Also, Bitcoiner Max Keiser adds, echoing Hayes' concerns, that transferring value to Bitcoin ETFs would be dangerous to the legal self-custody status of Bitcoin (BTC).
As such, the industry must be prepared for “an unwelcome surprise,” warns Keizer.
About the author
Vladislav Sopov
