Bitcoin Hits ‘Danger Zone’: Peter Schiff Warns Of ‘Do or Die’ Scenario
02 May 2024 - 1:00PM
NEWSBTC
Bitcoin is facing a critical juncture as it has entered a ‘danger
zone,’ according to prominent gold advocate Peter Schiff. This
investor, known for his skepticism toward Bitcoin, suggests that
the cryptocurrency is entering a “do or die” phase, potentially
marking the end of its bullish run if current trends continue.
Breaking Points And Bearish Signals Peter Schiff has often voiced
his bearish outlook on Bitcoin, and his latest comments come as
Bitcoin has just slipped below the crucial $60,000 mark. Related
Reading: Bitcoin Greed No More: Sentiment Back At Neutral After
$57,000 Plunge This level had previously served as strong support
during the short-term bull run, and its breach has intensified the
bearish sentiment among investors. Schiff warns that staying below
this threshold could spell doom for the bullish fervor, potentially
derailing Bitcoin’s momentum. At the time of writing, Bitcoin is
trading at approximately $57,054, teetering close to its
100-day Exponential Moving Average (EMA). Schiff points out that
remaining below this EMA could confirm a bearish trend, signaling
an end to the rally. Amidst these developments, the market has seen
an increase in trading volume, coupled with the price drop,
indicating strong selling pressure. Over the last 24 hours,
Bitcoin’s trading volume has dropped from $45 billion to $48
billion, coinciding with a 6.3% price dip during the same period.
This heightened activity is a traditional bearish indicator,
lending weight to Schiff’s prediction of a downturn. Moreover,
investor sentiment is treading thin ice with significant outflows
from Bitcoin spot ETFs, hitting a weekly high of $162 million. This
departure of funds is particularly poignant as it unfolds just
before the FOMC meeting, where potential interest rate hikes are on
the agenda. These outflows reflect a broader market trend, with the
Grayscale Bitcoin Trust (GBTC) experiencing a substantial daily
outflow of $93.23 million. According to SoSoValue, total net
outflows from Bitcoin spot ETFs yesterday, April 30, were as high
as $162 million. GrayscaleETF GBTC had a single-day net outflow of
US$93.2277 million, and the current historical net outflow of GBTC
is US$17.303 billion. The total net asset…
pic.twitter.com/jSCtfVrW8l — Wu Blockchain (@WuBlockchain) May 1,
2024 The Bitcoin ETF Conundrum And Market Forecasts It is worth
noting that last month was quite challenging for US Bitcoin ETFs.
After a promising start with positive inflows in the initial months
following their launch, April witnessed collective outflows
amounting to $182 million across all active spot Bitcoin ETFs in
the US. Related Reading: If History Repeats, This Is How Bitcoin
Price Will Perform In The Next 6 Months This pullback is attributed
to macroeconomic concerns and geopolitical tensions, which have
clouded the investment landscape. As the market braces for further
turbulence, analysts such as Micheal Van de Poppe are forecasting
an additional correction, potentially pushing Bitcoin’s price down
to $55,000 before any sign of recovery. Monthly close approaching
for #Bitcoin and FOMC day tomorrow. I think we’ll see that sweep
beneath $60K and potentially cascade towards $55-58K from which
we’re finding the low and rotate back upwards. From there: Ethereum
ETF hype in May to pick up momentum. pic.twitter.com/Iki4De9mSF —
Michaël van de Poppe (@CryptoMichNL) April 30, 2024 Featured image
from Unsplash, Chart from TradingView
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