Bitcoin Success Depends On Gold’s Demise: Peter Schiff

The recent surge in Bitcoin to over $66,000 has caught the attention of investors worldwide. However, the rally was short-lived as it quickly dropped to $65,000. Amid this fluctuation, Peter Schiff, a known critic of BTC, has offered insights on the relationship between gold and BTC, suggesting that the crypto’s success depends on gold’s failure.

Gold Demise To Boost Bitcoin Rally

Peter Schiff, a staunch advocate of gold, recently highlighted a potential negative correlation between gold and BTC. In a recent post on X, Schiff pointed out that gold hit a record high of $2,480, while the flagship crypto began to decline.

Schiff stated:

Gold is up another $8 now, trading at a new record high of $2,480. Just as gold started to move higher Bitcoin started to move lower. It really seems that Bitcoin has developed a strong negative correlation to gold. That means for Bitcoin to succeed gold must fail.

Notably, Peter Schiff’s commentary aligns with his long-standing view that gold is a more reliable investment than crypto. For over a decade, the BTC versus Gold debate has divided the market participants.

Meanwhile, Schiff’s recent observations add fuel to this ongoing discussion. He noted that while gold reached new heights, the largest crypto by market cap has struggled to maintain its value from its all-time high. Besides, a recent Schiff warning to BTC traders hints at a potential bear market for the cryptocurrency.

He suggests that those holding the flagship crypto might consider selling their positions. Despite his anti-BTC stance, many crypto enthusiasts remain unfazed. They continue to believe in the crypto’s potential, dismissing Schiff’s predictions as overly pessimistic.

Also Read: 21Shares Co-Founder Bullish On Crypto ETFs, Solana ETF Approval Imminent?

Price & Performance Amid The Ongoing Debate

The BTC Vs. Gold debate remains a contentious topic in the investment world. The crypto’s digital nature and decentralization appeal to a new generation of investors seeking alternatives to traditional assets. On the other hand, Gold, with its long history and tangible value, attracts those who prefer stability and security.

Schiff’s recent remarks underscore the divide between these two camps. He believes BTC’s volatility and lack of intrinsic value make it a risky investment. Simultaneously, he views gold as a time-tested asset that provides a hedge against inflation and economic uncertainty.

However, as of writing, Bitcoin price was up 2.02% to $65,125.18, with its trading volume falling 9% to $37.37 billion. Over the last 24 hours, the crypto has touched a high of $66,066.73, its highest level since June.

On the other hand, the Gold Futures were up 0.69% to $2,485.45, reaching its all-time high. Notably, the investors appear to be shifting their focus towards both BTC and gold, given the positive sentiment hovering in the market due to a potential rate cut in September.

Also Read: Fed Williams Says First Rate Cut More Likely In Coming Month