Peter Schiff, an economist and gold bug, has cautioned that the current spike in the price of bitcoin appears to be “another classic pump-and-dump.” He voiced his doubts, saying, “I wonder when the massacre will begin,” despite the notable excitement surrounding the new spot bitcoin exchange-traded funds (ETFs).
On the “Pump and Dump” of Bitcoin, Peter Schiff
On Monday, the value of bitcoin surged past $50,000. Economist and gold fanatic Peter Schiff is sceptical, despite the fact that many are optimistic about future price increases as the Bitcoin halving draws near. Using social networking platform X, he shared:
Looks like bitcoin is seeing yet another traditional pump and dump. Regarding the recently listed bitcoin ETFs, there is a lot of enthusiasm. I wonder when they’ll start the massacre.
In response, a large number of individuals reminded Schiff of his previous incorrect estimates regarding the value of bitcoin. Along with highlighting his ongoing advise to avoid purchasing bitcoin, they also emphasized the missing chances that come with doing so and drew attention to the previous, much lower prices.
“Don’t make the mistake of thinking that buying bitcoin below $3,800 is a bargain just because the current price is better than 80% below its record high,” Schiff tweeted in November 2018. Bitcoin would still be costly at $750 even if its price dropped another 80% from here!
Schiff proclaimed all spot bitcoin exchange-traded funds (ETFs) to be in bear markets and issued a warning of worse losses in January, following the introduction of these products and a subsequent decline in price. The U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler’s proposed “onerous crypto regulations” will spark a “bitcoin bloodbath,” he further predicted, along with speculator sell-offs and low institutional demand.
Veteran trader Peter Brandt responded to the gold bug on X in response to Schiff’s “classic pump-and-dump” allegation regarding BTC.
It’s true that I think you’ll be correct in a market one year. I predict that it won’t be bitcoin.
What do you think of Peter Schiff’s description of the current spike in the price of bitcoin as a “classic pump-and-dump”? Please share your thoughts in the section below.