Bitcoin Could See Both Demand and Supply Shock, Says BTC Bull Anthony Pompliano – Here’s How

Longtime Bitcoin (BTC) bull Anthony Pompliano says the crypto king could face two types of shocks in the coming months that could lead to a continuation of the 2020 bull market.

In a new CNBC interview, Pompliano says regulators will eventually give the green light to a spot-based Bitcoin exchange-traded fund (ETF).

According to the venture capitalist, if a Bitcoin ETF is approved around the time of the next BTC halving, Bitcoin could enter a full-blown bull market.

“We have futures-based ETFs. I think we will get a spot bitcoin ETF. The question is when.

However, one of the things that people aren’t talking about is that this ETF will create a demand shock. When that happens, assets will flow into this industry. But as we get closer to the halving, there will be more of a supply shock at that halving, and I think that in that case we could see a repeat of 2020 where we would increase the price significantly.”

The halving, which halves the rewards of BTC miners, is expected to take place in April 2024.

Pompliano expects blue-chip investors to flock to the leading cryptocurrency once a Bitcoin ETF launches.

“If you’re a retail investor and you’ve been looking to invest in bitcoin for the last two, three, five years, you’ve probably found a way to do it. So I don’t think there are many inflows [coming] from private investors.

However, I believe that sovereign wealth funds or very large institutions are not going to Coinbase and buying spot bitcoin. I think that’s where the ETF inflows could happen.”

At the time of writing, Bitcoin is trading at $25,872.

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