Bitcoin May Be Approaching a Dangerous Peak, Warns Saifedean Ammous
Veteran economist cautions corporate buyers as BTC’s bull cycle nears exhaustion.
Bitcoin’s Bull Run May Be Nearing Its Limit
Bitcoin’s staggering rise from $15,000 to over $109,000 may be nearing its ceiling, says Saifedean Ammous, author of The Bitcoin Standard. Speaking on the Coin Stories podcast on June 3, the economist issued a stark warning: the market is on “very shaky ground.”
“Bitcoin has done -70% and -80% before, and it can do it again,” Ammous cautioned.
Despite increased institutional participation and growing adoption among corporate treasuries, Ammous believes the risk of a steep correction remains unchanged.
Corporations Must Prepare for Worst-Case Scenarios
The economist didn’t mince words for businesses buying into Bitcoin.
“If your business model can’t handle an 80% Bitcoin drawdown, rework your model right now,” he advised.
Ammous explained that historically, Bitcoin’s bull market tops have occurred 12 to 18 months after a halving event, a timeline that suggests the current cycle could be nearing its climax. While some analysts predict BTC could still hit $200,000, Ammous emphasized that 600% gains from the $15,000 bottom are already on the table, a figure that naturally invites risk of retracement.
BTC Treasuries Are Being Put to the Test
The warning comes amid a wave of corporate Bitcoin buying. This week, Paris-based Blockchain Group acquired another $68 million in BTC, bringing its holdings to nearly 1,500 BTC.
But not everyone is confident these firms are ready for Bitcoin’s trademark volatility. Max Keiser, long-time Bitcoin advocate, questioned the resilience of firms mimicking Michael Saylor’s aggressive treasury strategy.
“Saylor never sold and just kept buying, even when his BTC position was underwater,” Keiser noted.
“It is foolish to think the new Bitcoin Treasury Strategy clones will have the same discipline.”
While some hold fast to $200K forecasts for Bitcoin in 2025, voices like Ammous serve as a sobering reminder that the crypto market still favors the seasoned over the speculative.
Bitcoin OGs Urge Caution Amid Surging Prices
As more institutions and governments dive into Bitcoin, seasoned investors are reminding the space not to lose sight of history. Bear markets, with drawdowns of up to 80%, remain a part of Bitcoin’s DNA. The optimism of a six-figure future must be balanced with preparedness for brutal corrections.
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