Bitcoin’s price is down 18.7% in the last seven. The current price is around $35,200, down 9.19% in the last 24 hours. According to Peter Schiff, a diehard gold bug and Bitcoin skeptic, Bitcoin has only started its journey to zero. Schiff stated that he expects to see the Bitcoin market enter a panic selling phase once Bitcoin’s price breaks below $30,000.
Bitcoin is headed to zero according to Peter Schiff
According to Peter Schiff, the CEO and chief global strategist of Euro Pacific Capital Inc., Bitcoin investors should gear up as the worst is yet to come. In a tweet, the strong gold proponent stated that so far, the Bitcoin market crash has been quite logical and market participants have not begun panic selling as they are still holding on to some hope. But this will not be the case for long, he warns. According to Schiff, Bitcoin will see a flash crash at some point, and then all hell will break loose.
“So far the decline in Bitcoin has been very orderly. No one is panicking yet. It’s sliding a slope of hope. At some point, there’ll be a flash crash. That’s how these declines typically end. This flash crash may not even start until after Bitcoin breaks $30K. Then lookout below!” he said.
Contrary to what many crypto market participants say, Schiff believes firmly that there is no long-term potential for Bitcoin. “In the long term the price will be zero,” he said, explaining why he could only consider it to be only a speculative asset with a price and not an inflation hedge. Schiff points out that gold has, unlike Bitcoin, maintained steady levels with even modest gains.
His criticism of Bitcoin is also shared by other crypto skeptics and gold proponents. According to Holger Zschaepitz, a German market expert and author, despite growing inflation and interest rate hikes, gold has continued to show why it is an inflation hedge and Bitcoin – ‘digital gold’ is not.
— Holger Zschaepitz (@Schuldensuehner) January 21, 2022
Bitcoin proponents argue that Bitcoin will prevail over gold
While Bitcoin has fallen below the expectations of market analysts. A lot of market predictions last year expected the price of Bitcoin to reach at least $100,000 by the end of 2021. Having not reached the expectation, the speculations shifted to Bitcoin reaching the target this year. However, Bitcoin is down about 25.9% year to date, falling together with the stock market amidst growing inflation and hawkish Fed news.
Bitcoin proponents remain unmoved in their confidence that Bitcoin will still surge to new highs. According to Plan B, market participants can remain reassured that Bitcoin will prevail in the long run and add another zero to its price tag.