Peter Schiff Warns of Bitcoin's Pump and Dump Scheme
Date: 2024-02-14 Author: Dima Zakharov Categories: IN WORLD
Schiff's Skepticism
Economist Peter Schiff, known for his advocacy of investing in gold, has cautioned investors about the recent rise in cryptocurrencies, notably Bitcoin. He warns that the current hype surrounding Bitcoin resembles a typical pump and dump scheme, advising investors not to get carried away. Despite the optimistic sentiments among traders ahead of Bitcoin's scheduled halving, Schiff remains skeptical about the future growth of Bitcoin and other major cryptocurrencies.
Past Predictions
Schiff's skepticism towards Bitcoin is not new. Last year, he confidently predicted that Bitcoin's price would trend towards zero, a forecast that was proven wrong. Even after the approval of spot cryptocurrency ETFs in the US, Schiff continued to warn investors of an impending bear market and minimal institutional demand for these products.
Response from the Crypto Community
In response to Schiff's concerns, popular cryptocurrency analyst and trader Peter Brandt acknowledged that Schiff might eventually be correct about a market, but he doubted it would be the Bitcoin market. Brandt's tweet hinted at the resilience of Bitcoin despite Schiff's skepticism.
Schiff's Extreme Scenario
Recently, Peter Schiff suggested that Bitcoin could skyrocket to $10 million, but only if the US dollar collapses, leading to hyperinflation in the country. This extreme scenario reflects Schiff's ongoing skepticism towards traditional fiat currencies and his belief in the potential of gold as a more stable investment.
