Peter Schiff has sounded the alarm about a potential market manipulation scheme by hedge funds that could crash Bitcoin and severely impact MicroStrategy's financial standing. According to Schiff, these financial giants may be engaging in trades that could affect Bitcoin's stability and destabilize the market.

Despite the constant influx of buying from Bitcoin ETFs, the cryptocurrency's price remains subdued, suggesting potential market manipulation. Schiff speculates that hedge funds may be buying Bitcoin and related ETFs strategically, not for long-term holding but as a maneuver to short-sell shares of MicroStrategy, a company known for its hefty investments in Bitcoin.

This strategy could set the stage for a broader market shake-up. If hedge funds start to unwind their positions, they would initiate a cascade of sell orders for Bitcoin, causing the price to plummet. Such a decline would place additional pressure on MicroStrategy's stock, potentially leading to a downward spiral that could impact shareholders and the crypto market at large.

Current technical analysis supports the notion of an impending significant price movement in Bitcoin price. The Bollinger Bands on Bitcoin's 24-hour chart continue to tighten, a phenomenon typically indicative of upcoming volatility. Bitcoin's price hovers near the lower Bollinger Band, suggesting that the asset might be undervalued. The Bull Bear Power (BBP) indicator remains negative, underscoring a dominant bearish sentiment within the market. Market participants remain alert for any momentum shifts that could signal a reversal, which could indicate either a recovery or a further decline.