The conversion of Grayscale’s GBTC Trust into a spot ETF could have a negative impact on the price of Bitcoin (BTC).
The market has bought the rumor, and we can not ignore the second part of the popular quote (buy the rumor, sell the news). There is a possibility that the market could sell the news, leading to a substantial drop in the price of BTC.
Over the next couple of years, we may see a repeat of the BTC cycles, and it is worth noting that ETFs could have a positive impact on the price of cryptocurrencies.
However, the conditions for an explosive new bull run are not there yet, and we shouldn’t exclude the possibility the market will experience a mini-bear phase before that.