Peter Schiff Warns Bitcoin May Be Topping Out Before Fed Meeting

Peter Schiff, a proponent of gold, suggests Bitcoin may be "topping out" as traders await a Federal Reserve decision. He notes that Bitcoin is showing signs of losing momentum while gold and silver have broken out.

Market Resistance at $116,000

Bitcoin has struggled to surpass the $116,000 level despite recent gains.
BTC saw a 4% increase last week but faced strong resistance at this level.
Schiff warns that a market top could be forming.

Fed Timing and Rate Cut Expectations

The Federal Open Market Committee will meet on September 17, with expectations of a rate cut.
A shift in Fed policy may impact crypto and other risk assets unpriced by the market.
Traders are monitoring macro signals and on-chain data for potential volatility.

Gold and Silver Rally

Schiff contrasts Bitcoin's stagnation with strong moves in gold and silver, suggesting a possible investor re-balance towards metals if trends persist.

Market Perspectives

Some analysts highlight Bitcoin's weekly gains and interest from large buyers.
Others caution against premature conclusions around major policy events.
Schiff’s comments have sparked debates and caution among traders.

Key factors to watch include rally volume, Bitcoin's ability to close above $116,000, and the Fed's announcement on September 17. A failure to hold support after the Fed's news might lead technical traders to reduce risk, whereas a break above resistance could trigger buying.