Peter Schiff (Gold bug) claims that bitcoin’s value rose 60% in the past 12 months. However, the bulk of this gain was achieved within the first five weeks 2021. He claims that most of the 2021 buyers have lost their gains.
Bitcoin gains more than gold
With the calendar year ending and bitcoin up more than 60% since last January, one of the crypto asset’s chief critics, Peter Schiff, has claimed in a tweet that this gain was only achieved in the first five weeks of 2021. Schiff claims the vast majority of those who have bought the digital asset since 2021 are not benefiting.
Indeed, after starting 2021 trading at just above $29,300, the price of bitcoin — as shown by Bitcoin.com data — more than doubled and was trading just above $63,500 by mid-April. This is in contrast to Schiff’s gold which started the year trading at around $1,900 per ounce but had dropped to $1,730 at around the same time.
Although both asset prices fluctuated throughout 2021 the year-end data showed that crypto assets outperformed gold once again after recording double-digit gains. This suggests that, despite being volatile, the crypto asset still generates positive returns for investors even after February.
In contrast, Gold ended the year almost 4% lower than gold, something Schiff doesn’t mention in his latest anti-bitcoin tweets. Instead, he uses the crypto asset’s price in February 2021 to support his argument that bitcoin has not generated positive returns for a majority of investors. Schiff stated:
Bitcoin bulls point to bitcoin’s 60% gain in 2021 as more evidence that it’s the best asset to buy. However, all those gains took place in the first five week of 2018. Bitcoin’s value is now lower than in February. The majority of those who bought Bitcoins in 2021 are now down.
Not only did bitcoin end the year with a 60% increase, but many other cryptos outperformed gold. Ethereum’s November record high of $4891 saw it surpass 500% in net gains by 2021.
A Bitcoin.News Report also revealed that approximately ten crypto assets experienced gains greater than 10,000% in the same period.
Schiff’s tweet has riled bitcoin proponents. For instance, in their response to the gold bug’s latest attack on BTC, one Twitter user named Moon Landing asked why Schiff worries too much about bitcoin. Benjamin Cowen, another user suggested that gold doesn’t keep up with inflation. Twitter:
“The vast majority of people who bought gold over the last decade have just watched it not even keep pace with inflation.”
Do you agree with Peter Schiff’s latest claims? Let us know your thoughts in the comment section.
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