ARK Invest Founder and CEO, Cathie Wood, believes that the approval of the spot Bitcoin ETF will likely be a ‘Sell on the News’ event for some investors.
In an interview with Yahoo Finance, Cathie Wood said that investors who are actively seeking profits will probably take advantage of such a “big anticipatory move” and secure short-term profits.
“Those who have been moving in and enjoying some nice profits will probably sell on the news,” said the ARK CEO, adding, “That’s an expression that traders use, so you anticipate the event, beat up the price, and then sell on the news.”
However, the profit-selling will be short-term, as a large number of Bitcoin investors believe that the approval of spot Bitcoin ETFs will be promising for the long term, according to Cathie Wood.
She said that these ETFs will give access to Bitcoin to institutional investors, which will enable them to allocate a small portion of their trillions of dollars in portfolios. These allocations of even 0.1% or 0.2% could also significantly affect the Bitcoin price.
ARK Invest is also one of the 14 applicants who have filed applications for Bitcoin ETF with the SEC. In the interview, Cathie revealed that their discussions with the SEC regarding the ETF have been very positive, and she believes that the potential outlook for the Bitcoin ETF will be in January.
Also Read: Coinbase Sees Massive BTC Transfers, Potential ETF Movement?
