Die-hard Bitcoin critic says the possibility of price crashing to $0 hasn’t been ruled out

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Die-hard Bitcoin critic says the possibility of price crashing to $0 hasn't been ruled out
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Popular gold proponent, Peter Schiff who is also a staunch Bitcoin critic took to Twitter by storm on Tuesday when he made a bullish analysis about the benchmark cryptocurrency Bitcoin that simultaneously coincided with most BTC price prognostications.

Die-hard Bitcoin critic says the possibility of price dropping to $0 hasn't been ruled out
BTCUSD Chart By TradingView

Following the Bitcoin price breakout to $50,000, Schiff asserted that the asset could potentially go up to $100,000. However, he didn’t stop there. Schiff still holds the belief that Bitcoin is still a bubble and that the value of the asset could go up, as quickly as prices could go down to zero.

As quoted from twitter, he wrote;

“Now that Bitcoin has hit $50,000, I must admit that a move up to $100,000 can’t be ruled out. However, a move down to zero can’t be ruled out either. While a temporary move up to $100k is possible, a permanent move down to zero is inevitable. If you don’t want to gamble buy gold.”

Peter makes a case for Gold

Peter Schiff’s take on digital currencies has not changed over the past years. In a recently surfaced tweet made by the gold proponent in 2019, Schiff who was a guest on CNBC maintained that gold would hit $50,000 in two years.

Asides from gold failing to live up to Schiff’s expectations, Schiff could be seen responding to Bitcoin analyst Thomas Lee, who predicted the $50,000 price mark as Bitcoin’s 2018 potential end of year price, saying “at least gold will eventually hit $5k. Bitcoin will never hit 50k.” While the latter happened, the former was a short-term price upswing that dropped almost as quickly as the high was recorded.

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Gold continues to lose to Bitcoin

The bone of contention for gold advocates like Peter Schiff is that Bitcoin is nothing more than a bubble. An exemplary tweet made by Schiff to back up this motion reads

“A financial asset is in a bubble when its price has not relationship to its underlying present value or a reasonable expectation of its future value, and investor conviction in price appreciation is high and fear of loss is low. At $50k Bitcoin is the biggest bubble of them all.”

However, despite Bitcoin continuously outperforming gold, Schiff proposes the instability in sustaining new highs as a supporting point for his argument.

However, Bitcoin’s rally above $20,000, a price mark that hasn’t been revisited in over a month, is indicative of its fundamental growth. Ironically, Peter Schiff’s recent article on gold being favored by inflation caused by the printing of excess fiat contradicts market statistics that reveal a continuous outflow of funds from gold to Bitcoin, a practice that asset managers in the traditional market have observed on different occasions.