Peter Schiff, an economist, cautions that Bitcoin (BTC) may face downward price pressure due to the $230 million outflows from Bitcoin ETFs over the past 10 days.

Schiff's statements suggest that the withdrawals from Bitcoin ETFs could potentially have an adverse impact on Bitcoin's price performance, raising concerns about a possible bearish trend.

Bitcoin ETF Outflows Spark Worries

Bitcoin ETFs have experienced outflows in recent weeks. Data shows that U.S. Bitcoin ETFs have seen cumulative outflows of $230 million over the past ten days, as reported by Coingape. Market participants, particularly Schiff, a known Bitcoin critic, have started to worry about the potential bearish influence of this trend on Bitcoin's price.

Aligning with the economist's view, Bitcoin ETFs witnessed their largest single-day outflow on May 1, with $563.7 million being withdrawn. This outflow coincided with a 5% drop in Bitcoin's price from $63,000 to below $60,000.

Schiff suggests that the initial excitement surrounding Bitcoin ETFs, which attracted a significant number of buyers, has now transformed into a large potential seller pool, increasing the risk of further price declines.

Market Imbalance and Investor Sentiment

The introduction of Bitcoin ETFs in January 2024 led to a market characterized by excess demand and limited supply, as many investors were eager to buy. However, the possibility of selling pressure increased as more investors started purchasing Bitcoin ETFs.

Schiff indicates that the current market imbalance, with many people owning ETFs and a lack of interest from new buyers, can significantly push Bitcoin's price downwards.

The change in market dynamics is reflected in the outflow data. Grayscale's GBTC ETF, a major player in the Bitcoin ETF market, recorded $43.4 million in outflows, contributing to the negative sentiment.

However, other ETFs, such as BlackRock's IBIT and Fidelity's Wise Bitcoin ETF, showed positive inflows, suggesting diverse investor sentiment across various ETF products.

Bitcoin Price Performance Amid ETF Outflows

In line with the overall negative sentiment from ETF outflows, Bitcoin's price has shown a bearish shift. On Friday, Bitcoin retraced below $63,000, declining by 2.48% to $60,819.35, with a market valuation of $1.20 trillion. The 24-hour trading volume for Bitcoin surged by 6.50% to $27.06 billion, indicating robust trading activity.

According to Coinglass data, the recent price dip can be partly attributed to increased crypto liquidations, which reached $145 million. Concurrently, Bitcoin's market capitalization has dipped by 2.51% to $1,197,748,552,399.