Peter Schiff, an economist and gold bug has warned about the future of cryptocurrency. He specifically predicted that bitcoin and ether would crash to $20K. He explained that “The need to sell bitcoin to pay the bills will only get worse as the recession deepens,” adding that bitcoin is poised to crash to $20K while ether will sink to $1K.
Peter Schiff shares his future outlook for Bitcoin, Ether and Crypto
Peter Schiff, the head economist and strategist at Euro Pacific Capital as well as the founder of Schiffgold has issued dire predictions regarding bitcoin, Ethereum, and all things crypto.
He tweets Saturday
Bitcoin looks poised to crash to $20K and ethereum to $1K … Don’t buy this dip. You’ll lose a lot more money.
Schiff further explained in several tweets Sunday: “With food and energy prices soaring, many bitcoin Hodlers will be forced to sell to cover the cost. Grocery stores and gas stations don’t accept bitcoin.”
The economist noted: “When Bitcoin crashed during Covid no one needed to sell. Consumer prices were much lower and Hodlers got stimulus checks.”
Schiff stressed:
As the recession worsens, many Hodlers will have to sell Bitcoin to cover their bills. This is especially true for those who work at soon-to-be bankrupt blockchain businesses.
“If circumstances change, long-term buyers without paychecks will be forced to sell,” he added.
Many bitcoin supporters continue to ignore any bitcoin or crypto predictions made Schiff. Some see Schiff’s gloomy forecasts as a signal that it is time for bitcoin.
“Possibly the most consistently bad investment advice on public record,” one Twitter user wrote. Another asked Schiff: “Check bitcoin or Ethereum 5-year charts, then check gold’s. Which one would you prefer to have held for 5 years? Which would you rather hold for another 5 years?”
Bitcoin is currently trading at $26,212.07, while ether trades at $1,373.77 at the time.
Many gas stations and grocery shops are accepting bitcoins. Sheetz, a major Mid-Atlantic restaurant and convenience chain, announced in May last year that it had become the “first convenience store chain to accept bitcoin.” Several convenience stores and gas stations have also installed two-way bitcoin ATMs, including a leading convenience and fuel retailer, Circle K.
While Schiff has a bearish view of bitcoin, ether and the crypto markets in general, there are many who believe that BTC is a great investment. Tim Draper (venture capitalist) recently doubled his $250,000 prediction for Bitcoin. U.S. Senator Ted Cruz said he is “incredibly bullish” on bitcoin and has a weekly BTC buy. Devere Group CEO Nigel Green said last week that he expects a bull run and a “significant bounce” in the price of bitcoin in the fourth quarter of this year.
JPMorgan said last month that the firm sees a “significant upside” to bitcoin. The global investment bank has replaced real estate with crypto as its “preferred alternative asset.” Moreover, a recent Deloitte survey found that 85% of U.S. merchants say enabling crypto payments is a high priority for them.
What do you think about Peter Schiff’s warnings? Comment below to let us know your thoughts about Peter Schiff’s warnings.
Credits for the imageShutterstock. Pixabay. Wiki Commons
DisclaimerThis information is provided for educational purposes only. This article is not intended to be a solicitation or offer to sell or buy any product, service, or company. Bitcoin.com is not a provider of investment, tax, legal or accounting advice. The author and the company are not responsible for any loss or damage caused or alleged caused by the content or use of any goods, services, or information mentioned in the article.