Quick Read
- Bitcoin dropped 17.69% in a week, closing at $60,462.
- Spot ETFs saw $3.4 billion in net outflows over 13 days.
- Economist Peter Schiff warned of a potential crash to $30,000 if support at $50,000 breaks.
Market Downturn and Institutional Withdrawal
Bitcoin has recorded its most challenging week of 2026, with the cryptocurrency losing over 17% of its value in five trading sessions. According to data from Coindoo, the asset opened the week at $73,680 and plummeted to a low of $59,128, closing at $60,462. This contraction was fueled by a convergence of negative factors, including $3.4 billion in net outflows from spot ETFs over 13 consecutive days and approximately $1.8 billion in derivatives liquidations.
On-chain data indicates that Bitcoin’s realized capitalization has shrunk by $40 billion, suggesting a significant exit of capital from the network. While institutional funds like BlackRock’s IBIT have traditionally served as a buffer, they recorded their worst performance on record during this period, signaling a drying up of US institutional demand.
Peter Schiff’s Bearish Outlook
Amid the market instability, economist Peter Schiff has issued a stern warning, suggesting that Bitcoin could face a further collapse toward the $30,000 level. As reported by Blockonomi, Schiff argues that if the price breaks decisively below the $50,000 support zone, the resulting panic could trigger a rapid descent. Schiff attributes the current fragility to persistent investor complacency and suggests that Bitcoin’s volatility may serve as a leading indicator for broader turbulence in global risk assets.
Technical Context and Macro Pressures
The technical landscape remains precarious, with the Relative Strength Index (RSI) dipping below 30, a level historically indicative of extreme oversold conditions. While some market participants interpret this as a potential floor, others highlight the competition for capital as a primary headwind. Capital is currently rotating toward the AI sector and other high-growth equities, while macroeconomic uncertainty—driven by upcoming CPI and PPI inflation readings and a potential Federal Reserve rate hike—continues to weigh on sentiment.
Despite the bearish pressure, long-term proponents remain active. While Strategy disclosed a minor sale of its Bitcoin holdings in late May—its first such transaction since 2022—market analysts note that this does not indicate a reversal of institutional strategies. The market now awaits a clear breakout from the current $59,000–$62,000 consolidation range to determine the next major directional move.