Noted economist and cryptocurrency critic Peter Schiff has issued a stern warning to investors in Bitcoin exchange-traded funds (ETFs).
Peter Schiff Warns of Huge Losses for Bitcoin ETF Investors as Prices Drop to $53K
According to Schiff, the recent decline in Bitcoin price to $53,000 means that a significant majority of Bitcoin ETF investors are now in the red.
“At $53k I estimate over 70% of those who bought Bitcoin ETFs are losing money,” Schiff said on Twitter.
Schiff also predicted a bleak future for Bitcoin ETF investors if the price of the cryptocurrency continues to fall.
“When Bitcoin trades below $38k, 100% of Bitcoin ETF buyers will lose money. That's when I expect the real sell-off to begin, as most crypto ETF speculators will throw in the towel for good.”
Bitcoin's latest price drop comes after defunct cryptocurrency exchange Mt. This was attributed to several factors, including the expected payout for Gox's creditors.
The market is also affected by broader economic uncertainties, particularly concerns about US inflation and interest rates.
Schiff's comments come as Bitcoin suffers its most significant weekly loss since FTX's collapse in November 2022. The cryptocurrency lost over 13% in value during the week and is currently trading at the lowest levels since early May.
*This is not investment advice.
