Peter Schiff: "When Nasdaq Decline Intensifies, Bitcoin Will Fall Below $20,000"

Bitcoin critic and economist Peter Schiff has claimed that Bitcoin could fall below $20,000 if the U.S. stock market enters a full-fledged bear market. He also raised the possibility of MicroStrategy's bankruptcy.

On the 17th (local time), Peter Schiff stated via X, "Recently, when the Nasdaq fell 12%, Bitcoin fell 24%," adding that "if this correlation continues, Bitcoin could drop below $20,000."

He particularly pointed out that the Nasdaq has fallen significantly in the bear market. Schiff said, "Even if the Nasdaq falls just 20%, Bitcoin would reach $65,000. The problem is that the Nasdaq's decline is likely to be much greater than 20%," adding that "the average decline in past Nasdaq bear markets is 55%." He continued, "Even if the Nasdaq falls just 40%, which is below average, Bitcoin could reach the $20,000 level," and added, "The more the Nasdaq falls, the faster Bitcoin's decline will accelerate."

He also mentioned the possibility of MicroStrategy's bankruptcy. Schiff said, "Eventually, the perception that Bitcoin is a store of value similar to gold will completely disappear," and that "as the rationale for the U.S. government or investors to hold Bitcoin long-term disappears, selling pressure could surge." He then predicted, "MicroStrategy will not be able to avoid bankruptcy even if it sells all of its Bitcoin holdings."