Peter Schiff Practices Bitcoin Spot ETFs Once Again: What Happens “When Buyers Get Tired of Waiting and Become Sellers Too?” »

Economist and fervent Bitcoin Criticism of BTC/USD Pierre Schiff has once again traded its guns on spot ETFs associated with the digital asset.

What happened: On Tuesday, Schiff visited XPreviously Twitterto question the impact of the investment routes that were proposed earlier this year on the price action of Bitcoin.

“Despite purchasing 11 spot Bitcoin ETFs, Bitcoin has been trading sideways for over three months. The current price is 11% below the March high,” he pointed out.

Schiff questioned whether ETF investors are buying, causing selling pressure on Bitcoin. He asked Bitcoin proponents a rhetorical question: “What happens when ETF buyers tire of waiting and become sellers too?”

Well-known cryptocurrency analyst James Van Straten countered Schiff’s arguments by linking the current slowdown in the Bitcoin market to basis trading – a market-neutral strategy that uses the difference between an asset’s spot price and futures price.

He further explained that the average price realized by Bitcoin was in the $50,000 region, which is higher than what it was when the ETF was launched. “ETF buyers are making good profits,” Van Straten said.

Why is this important: Schiff’s comments come just a week after he warned that resorting to buying institutional ETFs to drive up Bitcoin prices could lead to market instability.

Before that, he used the excitement around him Ethereum ETH/USD Spot ETF Approvals for questioning the future of Bitcoinwhich suggests that any funds used to purchase new Ether ETFs would likely come from existing Bitcoin ETFs.

Price Action: At the time of writing, Bitcoin was trading at $65,335.68, down 1.46% over the past 24 hours, according to data from Benzinga Pro.

Photo courtesy: Gage Skidmore on Flickr

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