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Peter Schiff Explains Why Bitcoin Bulls Should Be Worried

source-logo  u.today 21 May 2024 15:37, UTC

Gold bug Peter Schiff has warned Bitcoin bulls that the expected approval of spot Ethereum ETFs is going to be bearish for the leading cryptocurrency.

According to Schiff, any money that moves into Ethereum ETF will "most likely" come from spot Ethereum ETFs that were launched earlier this year to much fanfare. "Investors who decided to make an allocation to crypto won't increase that allocation to buy Ether," Schiff added.

As reported by U.Today, the U.S. Securities and Exchange Commission suddenly made a shocking U-turn on spot Ethereum ETFs just days before it was widely expected to reject them.

Fidelity has now filed its amended S-1 registration statement, which no longer includes staking rewards.

The price of Ethereum is now up a whopping 23% over the past 24 hours. Earlier today, it managed to surpass Mastercard by market capitalization.

For comparison, Bitcoin saw a relatively modest 6% price spike over the same time period.

The ETH/BTC pair is now up 16% over the past 24 hours on the Bitstamp exchange after hitting its 2024 low on April 16.

Some analysts predicted that Bitcoin would benefit from the rejection of Ethereum ETFs. However, now it seems like Ethereum might chip away at some inflows.

Over the past week, Bitcoin ETFs have recorded steady inflows totaling more than $1 billion.

$8,000 this year?

According to British multinational bank Standard Chartered, the price of Ethereum could surge to as high as $8,000.

The bank has also predicted that the yet-to-be-approved Ethereum ETFs could attract up to $150,000 worth of inflows.