Gold advocate and Bitcoin critic Peter Schiff stated today that a drop in Bitcoin’s price below $50,000 could accelerate selling pressure. According to Schiff, a break below this level could
Gold advocate and Bitcoin critic Peter Schiff stated today that a drop in Bitcoin’s price below $50,000 could accelerate selling pressure. According to Schiff, a break below this level could lead to a retest of the sub-$16,500 region seen in 2022 before the end of the year.
In Schiff’s scenario, the first turning point is $50,000. In a market where Bitcoin is around $66,000, reaching this threshold requires a drop of approximately 24%. The second segment, from $50,000 to $16,500, represents an additional 67% drop on its own.
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Schiff argued that if this scenario were to occur, Michael Saylor’s company, Strategy, would also suffer a heavy blow. The company’s latest chart shows 850,364 BTC at an average cost of $75,456 per Bitcoin. If Bitcoin were to fall to Schiff’s initial threshold of $50,000, the market value of these assets would be approximately $42.5 billion. The difference between this and Strategy’s total acquisition cost of approximately $64.2 billion illustrates why Schiff specifically highlighted the company’s shares.
*This is not investment advice.
Continue Reading: A Harsh Scenario for Bitcoin from Peter Schiff – “First 50,000, Then…”
