The asset manager has been helping educate pension funds, endowments and sovereign wealth funds about the new spot bitcoin ETF products, the firm’s head of digital assets said.
Bitcoin Hits ‘Danger Zone’: Peter Schiff Warns Of ‘Do or Die’ Scenario
Bitcoin is facing a critical juncture as it has entered a ‘danger zone,’ according to prominent gold advocate Peter Schiff. This investor, known for his skepticism toward Bitcoin, suggests that the cryptocurrency is entering a “do or die” phase, potentially marking the end of its bullish run if current trends continue.
Breaking Points And Bearish Signals
Peter Schiff has often voiced his bearish outlook on Bitcoin, and his latest comments come as Bitcoin has just slipped below the crucial $60,000 mark.
This level had previously served as strong support during the short-term bull run, and its breach has intensified the bearish sentiment among investors. Schiff warns that staying below this threshold could spell doom for the bullish fervor, potentially derailing Bitcoin’s momentum.
At the time of writing, Bitcoin is trading at approximately $57,054, teetering close to its 100-day Exponential Moving Average (EMA). Schiff points out that remaining below this EMA could confirm a bearish trend, signaling an end to the rally.
Amidst these developments, the market has seen an increase in trading volume, coupled with the price drop, indicating strong selling pressure.
Over the last 24 hours, Bitcoin’s trading volume has dropped from $45 billion to $48 billion, coinciding with a 6.3% price dip during the same period. This heightened activity is a traditional bearish indicator, lending weight to Schiff’s prediction of a downturn.
Moreover, investor sentiment is treading thin ice with significant outflows from Bitcoin spot ETFs, hitting a weekly high of $162 million. This departure of funds is particularly poignant as it unfolds just before the FOMC meeting, where potential interest rate hikes are on the agenda.
These outflows reflect a broader market trend, with the Grayscale Bitcoin Trust (GBTC) experiencing a substantial daily outflow of $93.23 million.
According to SoSoValue, total net outflows from Bitcoin spot ETFs yesterday, April 30, were as high as $162 million. GrayscaleETF GBTC had a single-day net outflow of US$93.2277 million, and the current historical net outflow of GBTC is US$17.303 billion. The total net asset… pic.twitter.com/jSCtfVrW8l
— Wu Blockchain (@WuBlockchain) May 1, 2024
The Bitcoin ETF Conundrum And Market Forecasts
It is worth noting that last month was quite challenging for US Bitcoin ETFs. After a promising start with positive inflows in the initial months following their launch, April witnessed collective outflows amounting to $182 million across all active spot Bitcoin ETFs in the US.
This pullback is attributed to macroeconomic concerns and geopolitical tensions, which have clouded the investment landscape.
As the market braces for further turbulence, analysts such as Micheal Van de Poppe are forecasting an additional correction, potentially pushing Bitcoin’s price down to $55,000 before any sign of recovery.
Monthly close approaching for #Bitcoin and FOMC day tomorrow.
I think we’ll see that sweep beneath $60K and potentially cascade towards $55-58K from which we’re finding the low and rotate back upwards.
From there: Ethereum ETF hype in May to pick up momentum. pic.twitter.com/Iki4De9mSF
— Michaël van de Poppe (@CryptoMichNL) April 30, 2024
Featured image from Unsplash, Chart from TradingView
Bitcoin Bottom Out? Analyst Signal Turnaround Amid Market Slump
Bitcoin has recently concluded April, marking its most significant monthly decline. Despite the bearish momentum, leading market analysts, including Michael van de Poppe, believe that the worst may soon be over, suggesting that Bitcoin is nearing the end of its current correction phase.
Bitcoin At The End Of Correction?
April was challenging for Bitcoin, as its value plunged nearly 20%, dipping below $57,000, the lowest level traded since late February.
This drop is part of an intense market sell-off that has slashed the combined cryptocurrency market cap by nearly 10%, bringing it down to $2.2 trillion. Amid these declines, Michael van de Poppe, a revered figure in the crypto analysis space, provided hope.
In his recent statements on the social platform X, Van de Poppe suggested that Bitcoin’s current price levels might be nearing the bottom of this correction cycle.
He highlighted the critical price range of $56,000 to $58,000 as pivotal for Bitcoin’s short-term trajectory, indicating potential areas for a rebound.
#Bitcoin is at the end of the correction.
It’s already down 20% from the highs and we’ll have some more downside to happen from here.
If the correction continues, then I think the green zones between $56-58K are essential to watch.#Altcoins to bounce before. pic.twitter.com/4Mu3NA1HSg
— Michaël van de Poppe (@CryptoMichNL) May 1, 2024
A Closer Look At Predictions And Market Sentiments
Van de Poppe isn’t alone in his optimistic outlook. Other analysts, like Checkmate, an on-chain expert, have analyzed Bitcoin’s historical data to predict future movements.
Checkmate introduced the term “chopsolidation,” describing it as a phase of stagnant yet volatile market conditions that could precede a significant bullish run.
He expects this phase to last about six months, followed by a potential 6 to 12 months of explosive growth reminiscent of past cycles. Furthermore, historical data from Bitcoin’s Halving years support the theory that after a halving event, the market tends to perform strongly towards the end of the year.
However, there are not all optimistic forecasts in the crypto realm. The spot Bitcoin ETF market witnessed over $300 million in net outflows in April, breaking a three-month streak of inflows, reflecting a broader sentiment of caution among investors.
Moreover, Charles Edwards, founder of Capriole Investments, has voiced concerns over the market’s extraordinary bullishness, warning of the necessity for corrections within such a volatile asset class.
“Sell in May and go away.” This looks like distribution to me. As long as we trade below $61.5K, scenario (1) is technically more likely. A strong reclaim of $61.5K would give some hopes to the bulls for scenario (2). A flush would also be good for the sustaining continuation of… pic.twitter.com/6E3oJ1vgs3
— Charles Edwards (@caprioleio) May 1, 2024
Featured image from Unsplash, Chart from TradingView
Bitcoin down 20%+ from all-time highs — Is BTC price headed to $50K?
While the current correction remains in line with historical price corrections, Bitcoin could briefly fall to the $50,000 mark after losing the average ETF inflow mark of $59,000.
The reasons Bitcoin price is down 11% since the halving
Bitcoin’s current price action is “hardly a surprise” given the extraordinary bullish action leading up to the fourth halving.
Bitcoin Tumbles Below $60K, Risking Deeper Pullback as Crypto Markets Endure Worst Month Since FTX Crash
Recent U.S. economic data could prompt more hawkish forward guidance from the Federal Reserve.
Bitcoin sells the news on Hong Kong ETF debut — Will BTC hold $60K?
Bitcoin could continue its decline below the $60,000 psychological mark after the debut of Hong Kong ETFs proved to be a sell-the-news event.
BlackRock’s Bitcoin ETF daily inflow on halt for 4 days
While some crypto observers are concerned about IBIT’s inflow halt, others say it’s more normal than the 71-day inflow streak it has recorded.
Blockchain gaming firm Animoca Brands 'comes to Bitcoin'
Animoca’s move into Bitcoin involves the Opal Protocol and BLIF token, initiated by Animoca and Darewise.
Hong Kong Bitcoin and Ether ETFs have tough debut on first-day trading
Bitcoin and Ethereum spot ETFs began trading in Hong Kong, but day-one trading volumes were a fraction of those recorded in the United States in January 2024.
Hong Kong Bitcoin and Ether ETFs Have Soft Debut
The volume of ether exchange-traded funds came in at over $13 million, while bitcoin ETFs came in at $7.5 million.
Bitcoin price battles for $63K support amid warning bulls ‘complacent’
Bitcoin ETFs hitting Hong Kong excite markets overnight, but overall BTC price conditions remain precarious, analysts say.
Hong Kong Bitcoin ETF Readies For Stellar Debut, Expected To Outshine $125M US Launch
The eagerly anticipated Hong Kong Bitcoin ETF market is scheduled to commence trading on Tuesday, marking a significant milestone in the increasing adoption of the leading cryptocurrency and building upon the success of the US ETF market.
With their approval, the newly regulated index funds are poised for a noteworthy debut, surpassing the first-day inflows in the United States.
HK Bitcoin ETF Market Poised For Record-Breaking Debut
Zhu Haokang, the Digital Asset Management Supervisor and Family Wealth Supervisor at Warsaw Fund expressed great confidence in the trading volume of Hong Kong Bitcoin ETFs on its inaugural day.
This volume exceeded the scale achieved during the US launch on January 10th of this year, which amounted to over 125 million US dollars.
Haokang further stated that Huaxia, one of the three ETF issuers, is confident in becoming the largest ETF issuer on the first day of trading. At the same time, OSL, a digital asset platform, has already completed the initial fundraising with two funds, including Huaxia.
Furthermore, the capital inflow during the Hong Kong spot Bitcoin ETF’s first-day listing transaction has surpassed that of the US spot ETF market.
According to Haokang, this difference can be attributed to two factors: the purchase and redemption of spot and in-kind transactions, which are unavailable in the US spot Bitcoin ETF.
Unprecedented Investment Options
One unique aspect of the China Summer Fund’s Hong Kong spot ETF is its incorporation of Hong Kong dollars, US dollars, and dual counter offers (RMB counters), distinguishing it from the other two offerings.
Additionally, the fund features a non-listed share alongside the listed share, further setting it apart from its counterparts. Given the physical purchase method, investors, including Bitcoin miners, can directly acquire the Hong Kong virtual asset spot ETF using the Bitcoin they already hold.
Moreover, outreach efforts have reportedly been made to attract investors from countries and regions without ETF offerings, such as Singapore and the Middle East, generating significant interest.
Despite the substantial market size of the current US spot Bitcoin ETF market, Hong Kong’s utilization of cash and in-kind subscriptions, coupled with the appeal of open trading during Asian market hours, is expected to attract numerous American investors, according to Haokang.
Mainland Chinese Investors Restricted
Wayne Huang, OSL ETF and Trusteeship Business Manager, highlighted that Victory Securities could facilitate physical purchases, and the winning securities in China can also leverage OSL’s support.
Three vouchers enable physical purchases, with more expected to follow suit. Following the ETF’s listing, various voucher chambers of commerce are likely to participate, increasing the overall ecosystem of the Bitcoin ETF market in May.
On the other hand, Zhu Haokang also clarified that mainland Chinese investors are currently restricted from investing in Hong Kong’s spot ETF market. However, qualified investors, institutional investors, retail investors, and qualified international investors in Hong Kong can participate in the spot ETF race.
Individuals seeking further details are advised to consult voucher providers and sales channels while closely monitoring potential regulatory adjustments and the development of a specific regulatory framework in the future.
Currently, BTC is trading at $63,000 after failing to consolidate above the key $66,000 level in recent days. However, the launch of the ETF market in Hong Kong is expected to significantly impact the price of BTC in the long run.
Featured image from Shutterstock, chart from TradingView.com
Bitcoin Wavers Around $63K, Awaiting Hong Kong Spot Crypto ETF Debut
Despite muted anticipation for the new products, an executive of one of the issuers reportedly expects that the first-day issuance of the Hong Kong offerings will exceed the U.S. debut in January.
Press Briefing With ChinaAMC Executive Ahead of Tuesday Launch of Hong Kong Spot Bitcoin and Ether ETFs
Zhu Haokang is head of digital asset management and family wealth at one of the ETF providers, ChinaAMC.
Bitcoin ETF Slowdown Is a Short-Term Pause Not the Beginning of a Negative Trend: Bernstein
Investment platforms will take some time to establish the necessary compliance framework to sell bitcoin ETF products, the report said.
Australian Securities Exchange Could Approve Spot-Bitcoin ETFs Before 2024-End: Bloomberg
The Australian Securities Exchange (ASX), which accounts for 90% of Australia’s equity market, is expected to approve the first spot-Bitcoin {BTC} exchange traded funds (ETFs) before the end of 2024, Bloomberg has reported, citing people familiar with the matter.
Australia’s top exchange may approve spot Bitcoin ETFs this year: Report
Australia’s spot Bitcoin ETFs could see $3 billion to $4 billion of inflows within the first three years, according to Monochrome CEO Jeff Yew.
DTCC rules out collateral for Bitcoin-linked ETFs
This notice means that exchange-traded funds and similar investment instruments with Bitcoin or other cryptocurrencies as underlying assets will not be assigned any collateral value.
Mainland China investors won’t be able to buy Hong Kong Bitcoin ETFs
Mainland Chinese citizens will not be able to purchase Bitcoin and Ether ETFs in Hong Kong because mainland China banned crypto transactions years ago.