In a recent statement reflecting his hardline stance against Bitcoin, renowned economist Peter Schiff attacked the leading cryptocurrency, pointing out that it still behaves like a high-risk asset and is not a safe haven that can be trusted to protect wealth. Schiff emphasized the stark differences between the performance of gold and Bitcoin during times of economic stress, confirming that market behavior reveals the fundamental difference between the two assets.
In a tweet posted on Monday morning, Schiff highlighted the changes that have occurred in the financial markets, clarifying that prices of U.S. stock futures and the dollar have seen a noticeable decline, which typically drives investors to seek safe havens. He noted that gold responded to these developments by rising by nearly 1%, whereas Bitcoin recorded a decline of about 2%, reinforcing his argument that Bitcoin does not provide the safety traditionally associated with gold.
Schiff wrote: "Tonight, U.S. stock futures and the dollar are both selling off. But once again, gold and Bitcoin are going in opposite directions. Gold is acting like a safe haven, while Bitcoin is showing characteristics of a high-risk asset. Clearly, Bitcoin is not digital gold as some claim."
Schiff's remarks come at a time when global market anxiety is on the rise, with investors focusing on the links between traditional assets and cryptocurrencies as tools for hedging against inflation. Despite the ongoing debate over Bitcoin's status in the financial system, Schiff believes that the cryptocurrency's volatile performance reflects its lack of credibility as a value-preserving tool in the long term, unlike gold, which has maintained this reputation for decades.
