Peter Schiff is back with market crash prediction as Bitcoin nears $38k

Euro Pacific Capital CEO Peter Schiff warns of a market crash as spot Bitcoin ETF front-runners are getting ready for imminent approval.

The approval of a spot Bitcoin (BTC) exchange-traded fund (ETF) is likely to result in a market “crash” as speculators will dump their positions once the ETF is approved. At least, this is how Euro Pacific Capital CEO Peter Schiff sees things to unfold further.

In an X post on Nov. 9, Schiff attributed Bitcoin’s recent price surge to “speculators” who “continue to front run” a spot Bitcoin ETF.

Yet, the rally might be short-lived given that speculators will immediately dump their ETF positions once the U.S. Securities and Exchange Commission (SEC) gives the green light to the ETF, Schiff believes.

#Bitcoin is approaching $38K as speculators continue to front run a new #BitcoinETF. However, once that ETF is launched all of the speculators will have already bought. So when those buyers sell to take profits, there won't be many left to buy the ETF. Get ready for a crash.

— Peter Schiff (@PeterSchiff) November 9, 2023

Schiff’s comments come as Bitcoin shortly neared the $38,000 level for the first time since May 2022 amid the news that the SEC has entered a “brief window” to approve all the current applications for the ETFs.

The surge triggered liquidations of more than 57,900 traders’ positions, totaling more than $186.6 million, according to CoinGlass.

It is worth noting that Grayscale CEO Michael Sonnenshein earlier addressed the unlikeliness of such a scenario, as his firm still has not received any word about approval for spot Bitcoin ETFs from the regulator. However, Bloomberg Intelligence Research James Seyffart noted that the SEC could still decide on the first few applications “at any point from now.”

As of press time, Bitcoin is trading at $36,490, according to data from CoinGecko.