Peter Schiff, CEO of Euro Pacific Capital, has once again spoken out against Bitcoin, telling investors to sell the cryptocurrency and buy gold instead. This comes as Bitcoin has surpassed $72,000, with Schiff claiming the rally is a 'fakeout, not a breakout'. According to Schiff, the recent surge in Bitcoin's price is due to the US Treasury's announcement to buy back bonds, which caught markets by surprise.
Background on Schiff's Predictions
Schiff has a history of making incorrect predictions about Bitcoin, with at least 22 declarations of the cryptocurrency's demise since 2011, according to bitcoindeaths.com. His first warning was made when Bitcoin was valued at around $17, and it has since increased in value by over 4,000 times.
Comparison to Gold
Schiff has consistently advised investors to prefer gold over Bitcoin, particularly in times of easy monetary policy. However, since his first call in 2011, the price of gold has increased from around $1,600 to over $4,550, a respectable gain but one that pales in comparison to Bitcoin's growth over the same period.
Market Reaction
Despite Schiff's warnings, the cryptocurrency community has largely reacted with sarcasm rather than indignation, with many viewing his predictions as outdated and incorrect. Bitcoin has still gained significant value, although it has fallen by around 18% since the start of the year.
