- Economist Peter Schiff warns that Bitcoin could fall toward its 2022 cycle low below $16,500 if the cryptocurrency breaks beneath $50,000.
- Bitcoin has declined to approximately $67,220 amid institutional outflows, leveraged liquidations and growing concerns about U.S. monetary policy.
- Schiff believes a deeper Bitcoin collapse could threaten Strategy, which holds more than 850,000 BTC purchased at an average price of approximately $75,000.
Bitcoin critic and gold advocate Peter Schiff has issued another bearish warning, predicting that the cryptocurrency could experience a much deeper decline before the end of 2026.
In a Nov. 14 post on X, Schiff suggested that Bitcoin’s recent selling pressure could accelerate if its price falls below $50,000.
According to the economist, a breakdown beneath that level could potentially send Bitcoin toward its 2022 market cycle low below $16,500.
The prediction comes as Bitcoin continues struggling to recover from a sharp market correction, with prices falling to approximately $67,220.
Schiff also warned that such a collapse could have serious consequences for Strategy, the world’s largest publicly traded corporate Bitcoin holder.
Peter Schiff Predicts Bitcoin Could Fall Below $16,500
Schiff believes Bitcoin’s ongoing decline could gain momentum if the cryptocurrency loses the $50,000 psychological support level.
“The Bitcoin collapse is gathering steam,” Schiff wrote on X.
He added that a sustained breakdown below $50,000 could lead to a rapid decline toward Bitcoin’s previous cycle low.
Schiff suggested that a retest of levels below $16,500 could happen before the end of the year.
However, his prediction represents a bearish scenario rather than a confirmed market outcome.
The economist has criticized Bitcoin for more than a decade, frequently arguing that gold provides a more reliable store of value.
He has also questioned Bitcoin’s long-term investment appeal, claiming that its valuation depends heavily on speculative demand.
His latest warning comes after Bitcoin declined from above $80,000 earlier in November.
The cryptocurrency has also fallen significantly from its October 2025 all-time high above $126,000.
Strategy Faces Pressure as Bitcoin Falls Below Purchase Price
Schiff also raised concerns about Strategy, the Bitcoin treasury company led by Executive Chairman Michael Saylor.
Strategy currently holds more than 850,000 BTC, acquired at an average purchase price of approximately $75,000 per coin.
With Bitcoin trading around $67,220, the company’s cryptocurrency holdings are valued below their average acquisition cost.
This creates substantial unrealized losses, although those losses do not automatically require the company to sell its Bitcoin.
Schiff believes Strategy’s reliance on Bitcoin appreciation and capital market financing could expose shareholders to additional risks during a prolonged downturn.
He has repeatedly criticized the company’s use of equity issuance and preferred-stock financing to expand its cryptocurrency treasury.
A deeper Bitcoin correction could place further pressure on Strategy’s stock price and its ability to raise additional capital.
However, the company’s financial position would also depend on its cash reserves, financing obligations and access to capital markets.
Bitcoin Technical Indicators Signal Continued Selling Pressure
Bitcoin’s latest decline has been accompanied by institutional withdrawals, leveraged liquidations and broader macroeconomic uncertainty.
U.S. spot Bitcoin exchange-traded funds have reportedly experienced more than $1 billion in cumulative outflows over short periods, reducing an important source of institutional demand.
Meanwhile, cryptocurrency liquidations have reached approximately $850 million to $1.2 billion during some single-day selling events.
Higher-than-expected U.S. inflation has also raised concerns about the Federal Reserve’s future interest rate decisions.
At the time of the report, Bitcoin traded around $67,220, below its 50-day simple moving average of $80,618 and its 200-day moving average of $73,085.
Trading beneath both indicators suggests that bearish momentum remains dominant.
Bitcoin’s 14-day relative strength index stood at approximately 24.85, placing the cryptocurrency in oversold territory.
While this could indicate the possibility of a short-term recovery, oversold conditions do not guarantee an immediate rebound.
For now, reclaiming the $73,085 level could be important for improving Bitcoin’s technical outlook.
A continued decline would bring additional attention to the $50,000 support level highlighted by Schiff, although a collapse toward $16,500 remains speculative.
