Can Bitcoin drop to $20K if Nasdaq falls into a bear market?
Bitcoin critic Peter Schiff, this correlation could spell trouble for the world’s largest cryptocurrency if the Nasdaq enters a bear market.
Schiff’s prediction: Bitcoin to $20k?
Schiff noted that the Nasdaq is already down 12% and warned that if this correction turns into a full-blown bear market, Bitcoin could face a sharp decline. «If the Nasdaq is down 20%, Bitcoin will be about $65K,» he wrote in a post on X (formerly Twitter).
Citing historical data, Schiff highlighted that past bear markets saw the Nasdaq drop significantly. «After the Dot-com bubble burst, it fell nearly 80%. During the 2008 financial crisis, it declined 55%, and in the 2020 COVID crash, it dropped about 30%,» he said. If the index falls 40% this time, Schiff predicts Bitcoin could plunge to $20,000 or lower.
While Bitcoin has rallied this year, fueled by institutional inflows into spot Bitcoin ETFs and growing mainstream adoption, Schiff argues that a stock market crash could trigger mass liquidations, pressuring Bitcoin further. «A drop of that magnitude would accelerate Bitcoin's collapse to much lower levels,» he warned.
Did you Know?
The world of cryptocurrencies is very dynamic. Prices can go up or down in a matter of seconds. Thus, having
Read on economictimes.indiatimes.com