A different perspective on Bitcoin ETF approval

The relationship between Bitcoin halving effects and ETFs has become a significant topic of discussion lately. Bitcoin halving events, which halve the supply, have typically led to increases in Bitcoin's price. However, with the recent ETF frenzy, it seems like there are changes in these dynamics.
Brian Dixon, CEO of Off the Chain Capital, mentions that the demand brought by the introduction of ETFs has created an unexpected supply shock. In this scenario, it is believed that the reduced supply due to halving, combined with increased demand, could exert further upward pressure on prices.
However, some experts point out that this may not always work out as expected. In previous cycles, there was no ATH before the bitcoin halving. Particularly, the 46% increase in Bitcoin's price following the entry of spot ETFs into the market may indicate that the market has already experienced some of this excitement through price increases. In this context, there is an emphasis on finding a balance between ETF interest and the halving effect on Bitcoin.
David Lawant, Research Director at FalconX, suggests that ETFs have attracted demand, potentially causing a temporary pause in Bitcoin price movements. However, this does not mean that the halving effect is not an important catalyst for Bitcoin and ETFs in the long run. The halving effect could contribute to making Bitcoin more attractive for institutional investors and boosting the success of ETFs.
In conclusion, the relationship between the Bitcoin halving effect and ETFs is complex and subject to change over time. Therefore, investors should consider these factors when forming their strategies.