Michael Burry warned that the sharp decline in the price of Bitcoin could extend to traditional markets, particularly gold and silver. He believes that losses in cryptocurrencies may have forced institutional investors and corporate treasuries to sell other assets to cover their positions, which could lead to the liquidation of up to a billion dollars in precious metals by the end of the month.
Burry confirmed that Bitcoin lacks a solid foundation to stop its decline, and stated that a drop to around 50,000 dollars could drive mining companies towards bankruptcy, causing severe damage to markets linked to futures contracts for precious metals. He also rejected the idea of considering Bitcoin a reliable digital safe haven, claiming that corporate treasury holdings will not provide sustainable price support.
According to Burry, the recent rise fueled by exchange-traded funds and institutional interest reflects a temporary momentum rather than real dependence. He asserts that Bitcoin is still largely speculative and vulnerable to further forced selling in financial markets if prices continue to decline.
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65,762.81
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