Economist and longtime Bitcoin critic Peter Schiff has issued a renewed warning to cryptocurrency investors, arguing that Bitcoin (CRYPTO: BTC) could face a sharp decline if a critical support level fails.
In a Thursday post on social media platform X, Schiff stated that a break below the $50,000 level would likely trigger a much deeper selloff. “If Bitcoin breaks $50K, which looks likely, it seems highly likely it will at least test $20K,” he wrote.
A decline to $20,000 would represent an 84% drop from Bitcoin’s all-time high of $126,000 reached last October. While acknowledging that Bitcoin has experienced similar drawdowns in the past, Schiff argued that the current market environment presents different risks.
He cited what he described as unprecedented hype surrounding the asset, increased leverage across the system, greater institutional ownership and a significantly larger overall market capitalization compared to prior cycles. “Sell Bitcoin now!” Schiff urged investors.
According to Schiff, although some sovereign wealth funds and governments have taken limited exposure to Bitcoin-related products, those allocations remain relatively small and are often driven by performance pressures rather than long-term conviction.
Source: Public statements on X and previous interviews
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