Long-term Bitcoin (BTC) bull Anthony Pompliano says the crypto king could see two types of shocks in the coming months that could lead to an encore of the 2020 bull market.
In a new CNBC interview, Pompliano says regulators are finally giving the green light to a spot-based Bitcoin exchange-traded fund (ETF).
According to a venture capitalist, Bitcoin could enter a full-fledged bull market if the approval of a Bitcoin ETF happens during the next BTC halving.
“We have futures-based ETFs. I think we’ll get a Bitcoin ETF locally. The question is when. One thing people aren’t talking about, however, is this ETF demand shock. When this happens, assets will flow into the industry. But the closer we get to the halving, the more it coincides with the supply shock, and I think we could see a repeat of 2020, with the price going up significantly if that happens. The halving, which will cut BTC miner fees in half, is estimated to happen in April 2024. Pompliano expects blue chip investors to flock to the leading cryptocurrency as soon as the Bitcoin ETF hits the market. “If you’re a retail investor and you want to be exposed to Bitcoin over the last two, three, five years, you’ve probably found a way to do that. So I don’t think there’s going to be much return for retail investors. However, I don’t think sovereign wealth or very large institutions will go to Coinbase and buy bitcoins locally. I think that’s where ETF flows can happen.” At the time of writing, Bitcoin is trading at $25,872.