Peter Schiff, a popular critic of Bitcoin and staunch gold advocate, dove into the ongoing debate around BTC’s valuation, predicting potential downward pressure in the near future and setting his target at the $54,000 price level.
Bitcoin continues to face downward pressure
Earlier today, Schiff identified a negative trend on the Bitcoin chart, indicating that the price of the cryptocurrency is likely to decline. He claims that the most recent review of Bitcoin’s short-term chart demonstrates a change in market sentiment.
Schiff observation was made amid high volatility and erratic sentiment, as Bitcoin has been moving in a downward direction over the past few days. The economist’s recent disclosure of Bitcoin’s near-term downside target has generated considerable interest from the cryptocurrency community.
According to him, the pivot level of $60,000, which was considered a support level on this short-term BTC chart, has turned into a resistance level. As a result, Schiff suggests a negative trend change due to a short-term head and shoulders pattern appearing on the Bitcoin chart.
With the neckline just below $57,000, Schiff pointed out that the head is around $60,000, while the shoulder is around $58,500. Thus, he placed his downside target for Bitcoin at the $54,000 level in the near term.
Schiff also expressed concerns about the lack of discussion on the largest cryptocurrency asset from US business news channel CNBC, following a drop in Bitcoin Spot Exchange Traded Funds (ETFs) the last days.
Over the past two days, BTC Spot ETFs have fallen more than 10%, closing below their market high of around 23%, but yet neither the products nor BTC have been discussed by the channel information in this period of time. Meanwhile, if Spot BTC ETFs had risen by 10%, the digital asset would have been covered all day.
Pierre Schiff has consistently attacked BTC over time. Earlier this month, the economist said BTC Spot ETF buyers would soon begin to withdraw as market volatility overwhelms them.
Since the coin’s long-term bear market is once again starting to gain momentum, Schiff says any new investors in the funds will ride the wave, giving him confidence that these investors will bail out soon .
BTC in bear market, party is over
As the market continues to fluctuate, gold advocates address the current state of BTC, noting that the digital asset is in a bear market, despite all the enthusiasm surrounding spot ETFs.
“Turn off the lights HODLers, the party’s over,” he said, claiming that this one BTC is currently worth less than 25 ounces, up 33% against gold and down 23% in US dollar terms.
Featured image from iStock, chart from Tradingview.com
