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Economist and longtime Bitcoin (BTC) critic Peter Schiff has issued a fresh warning to cryptocurrency investors, arguing that the world’s largest digital asset could face a steep decline if a key price level fails.
Schiff Predicts 84% Bitcoin Crash
In a Thursday social media post on X, Schiff said that a break below $50,000 would likely open the door to a much deeper selloff. “If Bitcoin breaks $50K, which looks likely, it seems highly likely it will at least test $20K,” he wrote.
A drop to that level, he noted, would represent an 84% fall from Bitcoin’s all‑time high of $126,000 reached last October. While acknowledging that Bitcoin has experienced similar collapses in the past, Schiff argued that the current environment is different.
He pointed to what he described as unprecedented hype, higher leverage in the system, greater institutional ownership and a much larger overall market capitalization. “Sell Bitcoin now!” he urged.
BTC ‘Not Fit’ As Reserve Asset
Schiff, who has long championed gold as a superior store of value, has repeatedly questioned Bitcoin’s role in the global financial system.
In a previous interview, he said BTC is unsuitable as a reserve asset for central banks, contending that its volatility would make it impractical to hold in large quantities without causing market instability.
According to Schiff, although some sovereign wealth funds and governments have taken limited positions in Bitcoin‑related products, those allocations remain small and are often motivated by performance pressure rather than deep conviction.
He has also expressed skepticism about the durability of institutional demand. Schiff predicted that professional investors’ interest in Bitcoin could wane over time and warned that more recent entrants to the market may ultimately suffer losses if prices retreat sharply.
At the time of writing, the leading cryptocurrency is trading at $66,900, with the largest resistance level at $70,000 and support floors at $65,800 and $62,800, limiting additional losses in the near term.
Featured image from OpenArt, chart from TradingView.com
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