Skybridge Capital founder Anthony Scaramucci says Bitcoin’s (BTC) recent correction is likely due to investors selling their holdings in Grayscale Bitcoin Trust (GBTC).
Shares of GBTC were converted from a trust to an exchange-traded fund (ETF) after receiving approval from the U.S. Securities and Exchange Commission (SEC) last week.
Scaramucci says his trading desk reported GBTC holders taking losses on their stocks to hold ETFs at lower costs, Bloomberg reports.
“There seems to be a lot of grayscale sales.”
The hedge fund manager also says the estate of former crypto exchange FTX, which went bankrupt after a dramatic collapse in late 2022, took the opportunity to sell its assets amid the hype surrounding Bitcoin ETF approval. Although BTC has gone on sale in recent days, Scaramucci believes the situation will change in about a week.
“The second thing we see is FTX’s bankrupt estate jumping into the ETF announcement. Bitcoin is currently being sold a lot. I do expect that the supply surplus will be resolved in the next six to eight trading days…
One final note: There has been a quiet period for Wall Street. Wall Street has failed to bring these ETFs to market and will begin to do so in about eight days.”
At the time of writing, Bitcoin is trading at $43,039.
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