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Decimal Digital founder Henry Robinson projects a potential Bitcoin supply shock amidst the growing investment inflow in spot Bitcoin ETFs. 
In an exclusive comment to crypto.news <a href="https://www.linkedin.com/in/henry-robinson-64719b3b/" target="_blank" rel="noopener">Robinson</a> remarks that Bitcoin ETFs are a game-changer, poised to revolutionize the industry by unlocking unprecedented investment opportunities. According to him, these financial instruments will attract substantial new investments into <a href="https://crypto.news/price/bitcoin/">Bitcoin</a> from diverse sectors, including pensions, endowments, insurance companies, sovereign wealth funds, and trusts. 
Robinson’s insight comes following the U.S. SEC’s approval of several <a href="https://crypto.news/arks-cathie-wood-condemns-sec-chair-says-gensler-denigrated-crypto/">Bitcoin ETFs</a>, which has sparked a trading frenzy with reports indicating a staggering <a href="https://crypto.news/bitcoin-breaks-49k-as-spot-btc-etf-trading-volume-surges/">$500 million</a> traded within the first 20 minutes. 
Despite the initial trading excitement, he offers a cautionary perspective on the availability of Bitcoin to meet burgeoning demand. There might be a potential “Bitcoin supply shock” on the horizon that could result in violent price fluctuations. 
 You might also like: <a href="https://crypto.news/robinhood-to-add-support-for-spot-bitcoin-etfs-as-soon-as-possible/"> Robinhood to add support for spot Bitcoin ETFs ‘as soon as possible’ </a> 
Furthermore, Robinson challenges the perceived value of ETFs, asserting they offer no significant advantage over self-custody, especially for long-term holders. He predicts a bleed in positions due to fee emissions, which could span years, potentially diminishing ETFs’ attractiveness as Bitcoin adoption escalates and self-custody gains traction among institutions. 
Following the SEC’s historic announcement yesterday, BTC reached $49,000 for the first time in almost two years. However, the price quickly dropped to the $46,000 zone, reflecting Henry Robinson’s forewarning of a potential supply shock.&nbsp; 
 Read more: <a href="https://crypto.news/former-ftx-customers-seek-crypto-repayment-amid-current-market-rally/"> Former FTX customers seek crypto repayment amid current market rally </a>

ETF hype might trigger a Bitcoin supply shock, says Decimal founder

crypto.news

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