Economist and gold bug Peter Schiff has made some dire predictions about cryptocurrencies, specifically bitcoin and ether. He explained that “the need to sell bitcoin to pay the bills will get worse as the recession deepens,” adding that bitcoin would crash to $20K, while ether would sink to $1K.
Peter Schiff Shares Future Outlook for Bitcoin, Ether, Crypto
Gold bug Peter Schiff, chief economist and chief strategist at Euro Pacific Capital and founder of SchiffGold, has made some serious predictions about bitcoin, ether, and the crypto market in general.
He tweeted on Saturday:
Bitcoin is poised to crash to $20K and Ethereum to $1K… don’t buy this fall. You will lose a lot of money.
Schiff further explained in a series of tweets on Sunday: “With food and energy prices rising, many bitcoin hodlers will be forced to sell to cover costs. Grocery stores and gas stations do not accept bitcoin.”
The Economist added: “When bitcoin crashed during Covid, no one needed to sell. Consumer prices were too low and hodlers got stimulus checks.”
Schiff emphasized:
The need to sell bitcoin to pay the bills will only get worse as the recession deepens and many hodlers lose their jobs, especially those working for soon-to-be bankrupt blockchain companies.
“If circumstances change, long-term buyers without pay will be forced to sell,” he said.
Most bitcoin proponents continue to ignore all bitcoin and crypto predictions made by Schiff, with many viewing his disappointing expectations for BTC as a buy signal.
“Probably the most consistently worst investment advice on public record,” wrote one Twitter user. Another asked Schiff: “Check bitcoin or ethereum 5 year charts, then check gold. Which would you rather hold? Which would you like to hold for another 5 years?”
At the time of writing, Bitcoin is trading at $26,212.07 while Ether is at $1,373.77.
In addition, a growing number of grocery stores and gas stations have started accepting bitcoin as well as other cryptocurrencies. Sheetz, a leading Mid-Atlantic restaurant and convenience chain, announced in May last year that it had become “the first convenience store chain to accept bitcoin.” Many convenience stores and gas stations have also installed two-way bitcoin ATMs, including those from a major convenience and fuel retailer, Circle.
While Schiff is bearish about bitcoin, ether and the crypto market in general, many people are very optimistic about BTC. Venture capitalist Tim Draper recently doubled down on his $250K bitcoin prediction. US Senator Ted Cruz said he is “incredibly optimistic” on bitcoin and is buying BTC weekly. Davere Group CEO Nigel Green said last week that he expects a bullish and “significant jump” in the price of bitcoin in the fourth quarter of this year.
JPMorgan said last month that the company sees “significant growth” in bitcoin. The global investment bank has replaced real estate with crypto as the “alternative asset of choice”. Furthermore, a recent Deloitte survey found that 85% of US merchants say that enabling crypto payments is a high priority for them.
What do you think of Peter Schiff’s warnings? Let us know in the comments section below.
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