Crypto analyst Peter Brandt recently highlighted a bullish development in Bitcoin’s pricing pattern. Brandt identified an inverse head and shoulders pattern against gold amid a broader market downturn. This pattern suggests a potential bullish breakout for Bitcoin.
Market Sell-Off Affects Crypto and Tech Stocks
The financial markets experienced a sharp sell-off last Friday, affecting tech stocks and cryptocurrencies. As Bitcoin’s price dropped, critic Peter Schiff quickly compared its performance unfavorably to gold. Schiff pointed out that, since their inception, Bitcoin ETFs have only gained about 10%, whereas gold has seen a 24% increase.
During the same period, Bitcoin ETFs witnessed substantial outflows. The total inflows for 2024 fell below $17 billion, with significant outflows recorded last Friday alone. Fidelity’s FBTC and Grayscale’s GBTC led the outflows, which saw combined withdrawals of $170 million.
ETF Outflows Highlight Investor Sentiments
Schiff argued that gold presents a more lucrative investment than Bitcoin ETFs, noting that gold investors have enjoyed returns 140% greater than those of Bitcoin ETF investors. In contrast, Brandt countered that Bitcoin’s current price pattern against gold indicates a forthcoming breakout, suggesting that Bitcoin could soon outperform gold.
Earlier in the week, Brandt had suggested that Bitcoin’s price might drop to $46,000 before it begins its recovery. This prediction adds a cautious note to his otherwise optimistic outlook for the cryptocurrency.
Bitcoin Falls Below $56K as Crypto Market Faces Extreme Fear
Schiff Advocates for Gold Over Bitcoin
Schiff mockingly suggested that Bitcoin might need a financial bailout, referencing MicroStrategy CEO Michael Saylor’s aggressive Bitcoin purchases. Schiff sarcastically proposed that Saylor should secure another billion dollars to buy more Bitcoin, hinting at the cryptocurrency’s need for support during tough times.
Schiff’s comments underscore his long-standing skepticism towards Bitcoin, contrasting sharply with Saylor’s strategy of substantial Bitcoin acquisitions for MicroStrategy. Saylor, maintaining his stance on Bitcoin, indirectly responded to Schiff’s critiques by emphasizing that true believers maintain their Bitcoin holdings through all market conditions.
Over the past 24 hours, Bitcoin experienced a notable decline of 2.73%, dropping its price to $54,288.29. As of reporting time, the Bitcoin price hovered at $54,288.29, reflecting the market’s recent bearish sentiment.
