Bitcoin has experienced a significant downturn, with its price plummeting nearly 13.9% in the last 24 hours. At the time of writing, the crypto asset was trading at $52,600 with a low of $49,000 based on the Binance spot rate. This severe decline is quite shocking, as it has drastically fallen from its price of over $70,000, registered only a week prior.
The drastic price action has reignited criticism from cryptocurrency skeptics, with Peter Schiff being particularly vocal. Schiff especially stressed that the events were severe as Bitcoin exceeded the March levels. He mentioned that the current values are 20% down from Friday’s closing price on the Bitcoin ETFs. Schiff referred to this as crypto Black Monday and predicted that bad news could come.
Read Also: Bitcoin vs. Gold – Peter Brandt’s Analysis Highlights Key Investment Insights
Concerns are Highlighted by Comparing with Gold
Schiff highlighted that since its peak in November 2021, Bitcoin’s value relative to gold has fallen by 45%. The price has rebounded slightly above $50,000; however, Schiff cautions that one should be careful. According to him, it might be trading and selling that ETF holders might be forced to make once the stock market opens.
Advertisement
More bearish indicators and price prognostications come from distinguished financial analyst Peter Brandt, who sees a huge dip coming. Peter Brandt considers the value of Bitcoin to decrease by 39% shortly after the value of gold, a forecast in harmony with Schiff’s negative view on Bitcoin, thus enhancing doubt.
Market Response and its Dynamics
By now, it is pretty clear that the recent fall in Bitcoin’s price has provoked a rather large reaction in the market. Traders and investors are closely watching the developments, especially the performance of Bitcoin ETFs once the stock market reopens. It has conjectured more selling pressure in the last three months, which is still significant.
Bitcoin critics, such as Peter Schiff, are still numerous and vocal, who advised investing in gold instead of bitcoins. Thus, other experts, such as Peter Brandt, share his calls for caution regarding Bitcoin and potential falls in its value. The skepticism from essential personalities in the financial world could affect the overall confidence of investors in the crypto market.
In conclusion, Bitcoin’s recent price drop has triggered significant alarm among market skeptics. With prominent financial experts predicting further declines, the market remains on edge. Investors and traders are advised to stay vigilant and monitor the situation closely as the stock market prepares to open.
Read Also: MicroStrategy Outshines Tech Giants Due to Bitcoin Plan
Maxwell Mutuma
Maxwell is a crypto-economic analyst and Blockchain enthusiast, passionate about helping people understand the potential of decentralized technology. He writes extensively on topics such as blockchain, cryptocurrency, tokens, and more for top publications such as Coingape, Coin Edition, and The Coin Republic. His goal is to spread knowledge about this revolutionary technology and its implications for economic freedom and social good.