Not Bitcoin, But Silver Is The New Gold 2.0 Says Bitcoin Critic Peter Schiff

Amid the rising geopolitical tensions and Israel’s escalating attacks on Iran, Bitcoin and the broader cryptocurrency market took a beating with BTC price slipping under $60,000, for the second time this week. Risk-off sentiment has kicked in again as money moves back into safe-haven assets like Gold, Bonds, and USD. Bitcoin critic Peter Schiff took this opportunity to slam BTC saying that the asset is no longer Gold 2.0.

Bitcoin Is Not Gold 2.0

Following reports of explosions in Central Iran and Israeli airstrikes in Iraq and Syria, financial markets experienced significant turbulence. Stock futures took a nosedive, while oil prices surged in response to escalating geopolitical tensions. Notably, the price of gold immediately rallied by 1.6%, reaching $2,416, reaffirming its status as a safe haven asset. In contrast, Bitcoin faced a sharp decline of 4%, dropping to $61K, highlighting its susceptibility to volatility during periods of geopolitical uncertainty.

As gold reached a new record high, silver also saw substantial gains, climbing by 1.75%. Observers noted that silver’s performance outpaced that of gold, presenting an alternative option for investors seeking stability amid market turmoil.

Bitcoin skeptic Peter Schiff commented on the situation, suggesting that the recent events underscore the enduring value of gold compared to the perceived volatility of Bitcoin. He emphasized the decline in Bitcoin’s value by 6% amidst ongoing market turmoil, suggesting a loss of confidence in the cryptocurrency.

Peter Schiff observes that BTC is currently trading below 26 ounces of gold, marking a 30% decrease from its peak reached 2.5 years ago. He suggests that Bitcoin’s extended bear market appears to be gaining fresh traction, coinciding with the entry of new Bitcoin ETF investors. Schiff predicts that these recent investors may soon opt to exit their positions.

BTC Believers Continue to Stay Bullish

According to Bitwise CEO Hunter Horsley, there’s skepticism about the notion that long-term bitcoin investors are selling due to increased geopolitical tensions. He asserts that interactions with long-only investment professionals haven’t indicated any significant redemptions or concerns in this regard.

Horsley notes a trend where numerous Registered Investment Advisors (RIAs) and multi-family offices are actively considering investing in Bitcoin, although they are not publicly discussing it. Despite this discretion, he highlights instances where firms are incorporating Bitcoin into client accounts and evaluating its potential role in investment models. He anticipates that as time progresses, more firms will openly embrace Bitcoin, surprising many observers with their level of adoption.