Bitcoin Criticized All Over By Peter Schiff, Here's What He Said!

Peter Schiff criticized BTC. (Photo; Doc. CoinDaily)

JAKARTA - Peter Schiff, a financial commentator and opponents of crypto assets, gave scathing criticism of Bitcoin. According to him Bitcoin has volatile and cannot be trusted.

Schiff quoted the old saying as saying that the market rose slowly and fell rapidly. However, he said that Bitcoin is different. "Bitcoin goes up quickly and then drops suddenly," he said.

Schiff's criticism comes amid growing interest and investment in Bitcoin and other crypto assets, which have recorded a significant increase in market prices and capacities in early 2024.

The huge spike in crypto-asset market Bitcoin has seen an extraordinary spike, with its combined value of around $2 trillion for the first time in nearly two years, driven mainly by a Bitcoin spike backed by an inflow into Bitcoin-based ETF (exchange-traded fund) products and massive purchases by companies like MicroStrategy.

Bitcoin, which covers about 52% of total market cap, saw prices rise by 5% to more than $57,000, marking a 12% increase in just one week.

This spike has not only pushed Bitcoin to its highest trading level since December 2021, but has also shown its better performance compared to traditional assets throughout 2024. For example, Bitcoin has outperformed the S&P 500 stock index, which has only increased by about 4% since the start of the year.

Despite the optimistic spike, warning signals have emerged, suggesting that Bitcoin may be heading in an overheat direction. Several technical indicators, such as the relative power index (RSI) and put-call ratio, suggest that Bitcoin has reached overbought levels, meaning that demand has exceeded supply and prices may be undergoing a correction.

Schiff keeps criticizing Bitcoin. Schiff not only criticizes Bitcoin's volatile nature, but also challenges claims that Bitcoin is digital gold, which is an asset that can serve as a store of value and hedge against inflation. According to Schiff, Bitcoin is just a risky digital bet.

Schiff argues that Bitcoin investors are basically betting on the dollar's power against other fiat currencies, inflation control, and the maintenance of Federal Reserve credibility. He said that if one of these factors changed, then Bitcoin would collapse.

Schiff also mocked about the potential financial losses Bitcoin investors might face. He believes that we may be nearing the end of the Bitcoin spike rather than witnessing the start of continued growth. He even said that Bitcoin might be down to zero.

Schiff is known as a gold bug, which is a person who believes gold is the best asset to invest. He has long rejected Bitcoin as an alternative or a gold competitor. He often argued with Bitcoin supporters, such as Anthony Pompliano and Michael Saylor, and challenged them to prove Bitcoin's superiority over gold.

However, to date, Bitcoin is still surviving and developing, despite the various challenges and criticisms. Many investors, both retail and institutional, are interested in Bitcoin's potential as innovative and revolutionary assets. Whether Bitcoin will continue to rise or eventually fall, only time will tell.