Bitcoin

Presiding over turbulent markets, <a href="https://coingape.com/peter-schiff-proclaims-bitcoin-dead-despite-high-trading-levels/" target="_blank" rel="noopener noreferrer nofollow">Peter Schiff</a>, the well-known gold proponent, shared his doubts on the social media platform X about institutional exchange-traded funds (ETFs) and their potential effect on the stability of <a href="https://coingape.com/price/bitcoin/" target="_blank" rel="noopener noreferrer nofollow">Bitcoin</a>. According to Schiff, many investors regard ETFs as stabilizers of the market, and they may be wrong as these products can result in increased volatility within the crypto market. He notes that because `BTC ETFs are not index funds, their owners are more likely to sell their shares, which can cause more fluctuations in the market.
<h2 id="strong-peter-schiff-highlights-bitcoin-etf-instability-strong">Peter Schiff Highlights Bitcoin ETF Instability</h2>
It is important to note that the cryptocurrency market has been rather volatile and has undergone certain changes: for instance, Bitcoin has recently faced a significant fall in price. In the subsequent bearish breakdown, the price of Bitcoin failed to retest $72,000 and rolled over, dropping down to a low of $66,207, wiping out more than 5% gains.
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This drop coincided with the end of a 19-day streak of inflows into Bitcoin ETFs, which saw substantial outflows totaling nearly $65 million on Monday alone. Notably, <a href="https://coingape.com/bitcoin-btc-price-hits-weekly-low-before-fed-rate-cut-decision-more-pain-ahead/" target="_blank" rel="noopener noreferrer nofollow">BlackRock</a>‘s IBIT saw modest inflows of $6. 3 million, which is insufficient to counteract broader market trends.
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Such changes may serve as a signal of future volatility, especially given the latest U.S. <a href="https://coingape.com/markets/bitcoin-price-forecast-why-btc-crumbles-before-fomc-meeting/" target="_blank" rel="noopener noreferrer nofollow">consumer price index</a> (CPI) report for May, which is expected to be released soon. This particular indicator is of great importance as it helps to predict the <a href="https://coingape.com/bitcoin-price-to-rise-post-fomc-meeting-heres-why/" target="_blank" rel="noopener noreferrer nofollow">Federal Reserve</a>’s stance on future interest rates. Since inflation expectations are often incorporated into the market sentiment, any changes might trigger additional volatility in Bitcoin prices.
<h2 id="strong-bitcoin-miners-sell-amid-market-volatility-strong">Bitcoin Miners Sell Amid Market Volatility</h2>
However, the miner’s activity within the Bitcoin network and the flows into and out of BTC ETFs have also been important. <a href="https://coingape.com/bitcoin-miners-offload-reserves-amid-massive-crypto-liquidations/" target="_blank" rel="noopener noreferrer nofollow">BTC miners</a> sold about 1,200 assets on June 10, the biggest single-day sale since late March. Regarding&nbsp;the recent situation, large mining companies have been reported to keep on depleting their reserves based on the data from CryptoQuant that matches the current market trends.
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The year has been tough for Bitcoin miners, who have been forced to change their mining strategies due to volatile market patterns. The Bitcoin halving event earlier this year also provides a perfect example of an event that was seen as bearish and led to the miners selling off Bitcoins before they adopted a holding pattern as the market conditions changed. Still, the total market has witnessed over $100 billion in liquidations, and the cryptocurrency’s market capitalization has also experienced a sharp plunge.
Also Read: <a href="https://coingape.com/ethereum-etf-update-key-week-ahead-for-sec-comments-on-s-1-filings/#:~:text=This%20week%20is%20significant%20for,of%20Ethereum%2Dbased%20investment%20products." target="_blank" rel="noopener noreferrer nofollow">Ethereum ETF Update Key Week Ahead for SEC Comments on S-1 Filings</a>
The post <a href="https://coingape.com/peter-schiff-warns-bitcoin-etfs-no-savior-for-market-stability/" rel="noopener noreferrer nofollow">Peter Schiff Warns Bitcoin ETFs No Savior for Market Stability</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.

Peter Schiff Warns Bitcoin ETFs No Savior for Market Stability

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