Economist Peter Schiff warns that bitcoin may not rise when other financial assets rebound

Economist Peter Schiff has warned that the price of bitcoin may not rise when other financial assets rebound, even though the crypto has fallen alongside them. “The bitcoin bubble has burst and collectors will sell no matter what happens to financial assets“, he predicted.

Peter Schiff’s perspectives on bitcoin

Economist Peter Schiff shared his thoughts on the future of bitcoin and crypto-currencies in a series of tweets this week. He wrote on Monday:

Just because bitcoin has fallen along with financial assets doesn’t mean it will go back up when those markets turn around.

Bitcoin is not a financial asset. It is a digital token to collect“, Peter Schiff continues. “The bitcoin bubble has burst and collectors will sell no matter what to financial assets“.

The economist also believes that bitcoin is not scarce despite the crypto currency’s 21 million supply cap. Responding to a tweet on Tuesday claiming that BTC is “the rarest and most desirable asset the world has ever seen“, said Peter Schiff:

Bitcoin is far from rare and by no means desirable. If you want to lose your money, there are many ways to do so. You don’t have to buy bitcoins.

In response to another tweet claiming that bitcoin is a risky asset rather than digital gold, Schiff said that BTC is “more of an asset for fools“. He states, “So as long as people are foolish enough to buy bitcoins, the price will go up. Unfortunately for bitcoin holders, while there are a lot of fools in the world, I don’t think there are many left willing to buy bitcoins who don’t already own them.

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Peter Schiff is the founder and current president of Schiffgold, a precious metals dealer specializing in gold and silver bullion. He has long been a bitcoin skeptic, regularly denigrating the crypto while promoting gold.

Commenting on the FTX collapse and subsequent calls for stronger crypto regulation, Peter Schiff tweeted Monday:

It’s ironic that big crypto players are looking to the government to save the industry with additional regulation.

This goes against the very heart of bitcoin’s original promise, which was to be the free market alternative to the corrupt government fiat currency system” he added.

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In November, Peter Schiff warned that bitcoin still has a long way to go, valuing BTC at $10,000. He also believes that the U.S. dollar will collapse and that the Federal Reserve’s actions will lead to a massive financial crisis

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