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Bitcoin critic Peter Schiff claims that BTC could see a potential drop to $20,000.Bitcoin has formed a symmetrical triangle pattern on the 4-hour chart.BTC miners have sold over 1,000 BTC, cashing in profits worth over $27 million
 .Gold advocate and Bitcoin critic Peter Schiff has once again shared a bearish forecast for the leading cryptocurrency. On March 17, Schiff took to X to note Bitcoin’s correlation with the Nasdaq and warned of a major downturn if the stock market enters a deeper bearish phase.
The NASDAQ is down 12%. If this correction turns out to be a bear market, and the correlation where a 12% decline in the NASDAQ equates to a 24% decline in Bitcoin holds, when the NASDAQ is down 20%, Bitcoin will be about $65K.
But if the NASDAQ goes into a bear market, history…
Drawing parallels to previous Nasdaq crashes, such as the 80% drop after the Dot-com bubble or the 30% crash during COVID-19, Schiff estimated that an average bear market decline of 55% could push Bitcoin BTC $83 668 24h volatility: 0.3% Market cap: $1.66 T Vol. 24h: $26.42 B all the way down to $20,000.
He argued that such a sharp drop would likely accelerate Bitcoin’s collapse to even lower levels.
The 61-year-old American entrepreneur also suggested that Bitcoin’s perceived status as digital gold is on borrowed time.
“There will clearly be no justification for the U.S. government or any state government to keep any Bitcoin in a strategic reserve,” he stated.
Bitcoin Miners Cashing In
Schiff’s prediction comes as Bitcoin struggles to maintain its value above the crucial $81,820 support level. Meanwhile, Bitcoin miners have recently offloaded over 1,000 BTC, cashing in profits worth over $27 million.
The historical behavior of miners sell-off has often preceded price volatility, with some traders fearing a potential downturn if selling pressure continues.
At the time of writing, Bitcoin is trading at $83,400, up by 2% increase in the past 24 hours, CoinMarketCap data shows.
A Sharp Breakout Ahead?
On the daily BTC price chart, the MACD line is trending toward a potential bearish crossover. This hints at slowing upward momentum, aligning with the possibility of a short-term correction.
On the other hand, the Relative Strength Index (RSI) hovers around 55, indicating that BTC is slightly bullish ahead of the final Federal Open Market Committee (FOMC) meeting before May this year. Notably, there is a possibility of a breakout in either direction.
Meanwhile, Bollinger Bands show that Bitcoin is approaching a squeeze, a setup that often leads to a sharp move. If BTC breaks above $85,000, it could signal renewed bullish momentum. However, a drop below $81,800 might result in deeper selling.
Interestingly, the BTC price is also forming a symmetrical triangle pattern on the 4-hour chart, which is reaching its breaking point ($83,500).
The pattern further confirms that traders might see a sharp breakout to $95,500 in the bullish case. However, the bearish case target stands at $71,500.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Bitcoin News, Cryptocurrency News, News
A crypto journalist with over 5 years of experience in the industry, Parth has worked with major media outlets in the crypto and finance world, gathering experience and expertise in the space after surviving bear and bull markets over the years. Parth is also an author of 4 self-published books.
