Economist Peter Schiff has long been against Bitcoin. He has repeatedly warned investors to stay away from the digital asset because he does not believe that it holds any inherent value. Now, more often than not, Schiff has always been wrong about Bitcoin but that has not stopped the economist from preaching strongly against the cryptocurrency. Once more, Schiff has asked investors to stay away from BTC with a gloomy prediction.
Peter Schiff Says Bitcoin Will ‘Breakdown’
Peter Schiff took to Twitter once more to share his gloomy prediction for the future of Bitcoin. This time around, the economist is not just trying to get investors away from the digital asset but he also actively predicted that he expects it to “breakdown hard.”
Schiff shared his reasons for this sentiment, saying that risk assets were going to suffer because inflation hedges are going to do better. To this end, he said that precious metals such as gold and gold stocks were the better option.
I think risk assets will soon breakdown hard, led lower by #Bitcoin. #Inflation hedges are about to breakout, lead higher by precious metals miners. As I titled my last podcast, #gold stocks are the new tech #stocks. Either prepare for this new reality or suffer the consequences.
— Peter Schiff (@PeterSchiff) April 3, 2023
This follows the same pattern of predictions that Schiff has made over the years, touting gold as the better option over the cryptocurrency. He sealed his tweet with what appears to be a caution for investors, saying “Either prepare for this new reality or suffer the consequences.”
Schiff Consistently Wrong About BTC
At this point, Schiff’s calls for investors to abandon Bitcoin have followed the same pattern: trying to shift investor focus to precious metals such as gold and silver. However, Schiff has been repeatedly wrong about Bitcoin for years. One user points out that Schiff discouraged buying BTC below $3,800 three years ago, predicting it would continue to fall. Rather, BTC rose to a new all-time high of $69,000 in 2021.
BTC recovers above $28,000 | Source: BTCUSD on TradingView.com
Bitcoin is also being increasingly used as an inflation hedge by investors. This is because of the digital asset’s high performance rate since its inception has put it well ahead of the inflation rate. This has also earned it the nickname of “digital gold” as its adoption grows worldwide each year.
Nevertheless, Schiff continues to be against Bitcoin despite its performance over the years. The economist has previously said that he believes the value of BTC is eventually going to zero and proposes investing in gold as the better option.
On Bitcoin’s part, the cryptocurrency has seen a good start to the year 2023, rising around 70% in the first quarter of the year. It is currently trading at a price of $38,364 after rising 6% in the last week.