Washington fueled the Bitcoin bubble, Peter Schiff says

💡 DMK Insight

Peter Schiff’s warning about Bitcoin’s reliance on political and Wall Street support is a crucial red flag for traders right now. If Bitcoin’s recent gains are tethered to external factors rather than organic demand, we could see a sharp correction if that support wanes. Traders should be cautious, especially if sentiment shifts or if regulatory news impacts market confidence. This could lead to increased volatility, particularly for those holding long positions. Watch for key technical levels; if Bitcoin breaks below its recent support, it could trigger a wave of selling. Additionally, keep an eye on correlated assets like Ethereum, as they often follow Bitcoin’s lead. Schiff’s perspective highlights the importance of understanding the underlying fundamentals driving price action, rather than getting swept up in the hype.