Bitcoin Crashes Below $66K Amid AI Boom, Schiff Revives $20K Target

Bitcoin price plunged to $65,422 today, extending the ongoing crash to more than 20% within just a month. Critics such as 'gold bug' Peter Schiff reiterated his $20K prediction amid the bearish vibes. The crash comes as investor money pours into artificial intelligence plays, pulling capital away from the crypto market and amplifying fears of a deeper correction.

Bitcoin took another 2% haircut today, driving the top crypto below $66K. Bitcoin price has crashed 11% in a week and more than 20% since mid-May. The latest drop comes as US jobs data comes in higher than expected, erasing any room for a Fed rate cut this year. Notably, the Crypto Fear & Greek Index fell to 11 (extreme fear) from 23 (extreme fear) in just a day. BTC sold by Michael Saylor's Strategy, massive spot Bitcoin ETF outflows, and US-Iran war escalation are among the key headwinds driving the Bitcoin crash. Crypto market liquidations continue to surge amid extreme fear sentiment. K33 Research said Bitcoin recorded its worst week since mid-February, with three-week spot ETF flows hitting their second weakest level on record. Funding rates have also spiked to levels not seen since November 2025, with open interest near yearly highs. In a research note titled "Summertime Sadness," K33 Research highlighted that capital inflow into AI stocks is erasing liquidity from Bitcoin and the broader crypto market. SpaceX and Anthropic IPO plans are also driving investors away from the crypto market.

Gold bug Peter Schiff wasted no time taking a dig at the falling Bitcoin price and MSTR stock. In an X post, he warned that "there is way too much complacency in Bitcoin for the market to be anywhere near a bottom." He added that once Bitcoin price breaks $50,000, "it should be a quick fall below $20K, which should be a big enough drop to shake the conviction of long-term HODLers, causing many to finally throw in the towel." Schiff also praised Mark Cuban for selling his Bitcoin holdings, calling it the right move after realizing BTC wasn't "digital gold." The veteran critic tied the current weakness to over-leveraged bets and predicted further pain ahead. He also targeted Michael Saylor and Strategy's STRC perpetual preferred stock, warning of a death spiral as STRC fell below $96.50. Notably, W