Bitcoin Rebounds, Schiff Repeats Crash Warning After $80K Test

Schiff issued his latest warning on X on October 24, stating, "Bitcoin is finally breaking down. It's hard to believe it's held up this long. Now that it's below $80K, the next stop is likely $75K. If that level fails to hold today, it's going to be a very long weekend for Bitcoiners, especially for ETF investors who can't sell until Monday."

He further cautioned that failing to sustain $75,000 would create a tough weekend for Bitcoin participants, particularly those relying on ETFs, which typically cannot trade on US stock exchanges during weekends.

Despite this, Bitcoin subsequently climbed above $80,000 and touched $81,000, challenging the immediate timing of Schiff's forecast. Nevertheless, the uptrend proved temporary, with the price settling just above $80,000 after hitting an intraday low near $79,300.

This latest bearish alert follows years of Schiff questioning Bitcoin's fundamental worth, arguing that it lacks the monetary history and intrinsic value he associates with gold, viewing its price as susceptible to sentiment.

Adding to the bearish sentiment, US spot Bitcoin ETFs saw significant withdrawals during the week, with $635.5 million leaving on October 22 and another $137 million on October 23.

While Schiff admitted in an October interview with Scott Melker that he "don't really know what's holding it up," he maintained that Bitcoin could eventually reach new lows.

Currently, the critical levels are $80,000 and Schiff's $75,000 target. A sustained move above $80,000 would undermine the immediate breakdown narrative, but a decisive push toward $75,000 would lend weight to his recent warning.

Why it matters

The market is currently testing key support levels, with Bitcoin struggling to hold $80,000 against bearish predictions. Investors should watch whether Bitcoin can sustain a recovery above $80,000 or if it moves closer to Schiff's $75,000 target. ETF outflows add a layer of caution to the current price action.