Peter Schiff Criticizes Bitcoin ETF Investors Amid Significant Whale Sell-Offs
- The economist drew attention to the present trends in trading and the influx of BTC ETFs.
- Schiff used the term “smart money” to describe the people selling their BTC on exchanges.
Another contentious examination of Bitcoin (BTC) including the Exchange-traded Fund (ETF) has been produced by economist and proponent of gold, Peter Schiff.
Schiff drew attention to the present trends in trading and the influx of Bitcoin ETFs. Stating that the “smart money” sells BTC on the spot market. Conversely, individuals purchasing Bitcoin via ETFs were seen as “dumb money” investors.
Schiff used the term “smart money” to describe the people selling their Bitcoin on exchanges right now. There has been a plethora of these alleged “smart money” transactions in the market recently.
Massive Sell-off
Reports indicate that two whale addresses allegedly sold 9,301 BTC on Binance on July 5. Some other Bitcoin whales transferred a large sum of BTC the day before, according to Whale Alert, a renowned on-chain transaction tracker, which prompted market speculations.
The whales did, in fact, move around $3 billion worth of Bitcoin in a series of deals. The price of Bitcoin dropped significantly due to these transactions. Additionally, some Bitcoin wallets that had been idle for a while were found to be active. When these wallets were reactivated, several of them moved their Bitcoin holdings to cryptocurrency exchanges.
Other examples of dumb money include investors who are purchasing Bitcoin exchange-traded funds (ETFs) from companies like BlackRock, Fidelity, and others. Schiff maintains that Bitcoin ETF holders are set up to be the ones who would suffer the most from a Bitcoin price collapse, a position that the BTC whales have taken advantage of. As a result, he praised the “smart” Bitcoin whales in a humorous manner.
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