Gold bug Peter Schiff recently took to X (formerly Twitter) to warn Bitcoin pumpers that institutional exchange-traded fund (ETF) buyers are not going to save them.
According to Schiff, this makes the cryptocurrency market "even more unstable" since he believes that all ETF buyers are future sellers. "In contrast, many spot buyers intend to hold their Bitcoin until it ultimately replaces fiat currencies," he added.
Earlier today, the price of the leading cryptocurrency dropped to an intraday low of $66,207, losing more than 5%.
Last week, Bitcoin failed to break above the $72,000 level despite strong buying pressure due to stronger-than-anticipated US jobs data. As reported by U.Today, US-based spot Bitcoin ETF recorded its second-biggest inflows to date last Tuesday.
Alex DovbnyaHowever, Bitcoin's 19-day streak of uninterrupted inflows has now ended. On Monday, the ETF products saw nearly $65 million worth of outflows. BlackRock's IBIT failed to save the day with modest inflows of only $6.3 million.
All eyes on the US macro data
Bitcoin is expected to experience more volatility on Wednesday due to the upcoming consumer price index (CPI) report for May. The critical inflation reading will provide market participants with crucial clues about the Federal Reserve's future policy moves. Accelerating inflation figures will be another bearish headwind for Bitcoin (and vice versa).
The Fed is also expected to announce its interest rate decision on Wednesday. However, it is unlikely to trigger more volatility since rates are widely expected to remain unchanged.
Godfrey Benjamin
Dan Burgin
Vladislav Sopov