ARK’s Kathy Wood sees the short-term impact of the Bitcoin ETF as ‘selling on the news’.

According to the CEO of ARK Invest, the excitement surrounding the approval of spot Bitcoin (BTC) exchange-traded funds (ETFs) could have a negative impact on the price of BTC in the short term.

Cathy Wood, founder, CEO and chief investment officer of ARK Invest, believes that some investors will be able to “sell on the news” once a Bitcoin ETF is approved by securities regulators in the US.

Wood expects that some investors do not want to miss the opportunity to take some profits, as there has been a “big expected step” based on the potential approval of a Bitcoin ETF, she said in an interview with Yahoo Finance on December. 26. The CEO of ARK said:

“People who get in and make good profits will ‘sell on the news.' It's an expression used by traders, you beat the price in advance of the event and then you sell on the news.

Although the short-term impact of the acceptance of the potential Bitcoin ETF may be related to the selling of some investors, the long-term perspective is more important and promising, according to Wood.

“It's going to be very short-term because we think it's going to be here that the SEC is going to give the green light to the Bitcoin ETF for institutional investors to participate,” the investor said.

Once approved, a Bitcoin ETF will become one of the easiest ways for institutions to acquire BTC, allowing them to allocate a small portion of trillions of dollars in assets to Bitcoin, believes ARK's CEO. According to Wood, if institutional investors put at least 0.1% or 0.2% of their assets into Bitcoin with a supply capital of 21 million coins, the price of Bitcoin will move significantly.

Related: Spot Bitcoin ETF Will Be ‘Bloodbath' For Crypto Exchange, Says Analyst

Wood's ARK Invest is one of 14 firms that have filed a bitcoin ETF listing with the US Securities and Exchange Commission. The ARK Spot Bitcoin ETF, the ARK 21Shares Bitcoin ETF, was developed in partnership with European crypto exchange trading product provider 21Shares.

In a recent interview, Wood described the Bitcoin ETF discussions with the SEC as “very positive,” adding to the potential for a January 10 debut of a Bitcoin ETF or ETFs.

“Something has changed in the last six weeks,” Wood said, as the SEC changed its review of Bitcoin ETFs from silent denials to “thoughtful, detailed, technical questions.”

According to Wood, that very positive move led to a fruitful discussion with the SEC. “I think the point of view is that the Bitcoin ETF is bright, and we think it will be in January,” Wood said.

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