Economist and well-known Bitcoin (CRYPTO: BTC) critic Peter Schiff has issued a warning to investors, predicting a gloomy outlook. However, an investment expert has identified three bullish signals for the King Crypto.
What Happened: Schiff stated on Tuesday that Bitcoin investors who switched from gold ETFs to Bitcoin ETFs at the end of Q1 are now 20% worse off. He also warned that the situation is likely to deteriorate further.
At the close of Q2, gold posted a 4% gain, while Bitcoin, with two days left to trade, was down over 15%, Schiff said, underscoring a pessimistic view of Bitcoin’s future performance.
"The bad news for those investors is that it will likely get much worse from here."
Despite Schiff’s bleak outlook, investment expert Matthew Sigel, head of digital assets at VanEck, has identified three bullish signals for Bitcoin, offering a glimmer of hope for investors in the cryptocurrency.
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These signals include realized losses, volatility, and drawdown.
"I got renewed bullish on Tuesday just you know noticed some capitulation indicators in the space like realized losses by short-term holders for example over 500 million like that's a top five print of all time for Bitcoin," said Sigel.
"And then I saw BTC volatility hit 21 that's a 30-day annualized VA that is also a very low number."
Why It Matters: Despite the current bearish sentiment regarding Bitcoin, some traders expect a "decent year-end run, starting late Q3."
Adding to the optimism, Quinn Thompson of Lekker Capital predicts significant growth in cryptocurrency markets by the U.S. presidential election in November. He believes the market is presenting one of the most attractive buying opportunities in recent memory.
These contrasting views highlight the volatile and unpredictable nature of the cryptocurrency market.
Price Action: Bitcoin price was hovering around $61,038, marking a decline of 0.57% in the last 24 hours, according to Benzinga Pro.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Gage Skidmore on Flickr
