Renowned Economist Peter Schiff Dismisses Bitcoin Surge, Challenges Gold Equivalency

Bitcoin's Surge Fails to Impress Economist Schiff, Who Disputes Its Comparison to Gold

Renowned economist Peter Schiff has dismissed Bitcoin's recent record-breaking rally, calling into question its purported equivalence to gold.

Schiff's Argument

On Sunday, Schiff shared a chart depicting Bitcoin's value in dollar terms, noting that while it had reached a new high in dollars, it had "not hit a new high priced in gold." He elaborated, "Perhaps it never will. That undermines the case for Bitcoin being digital gold."

Gold's Significance

Traditionally, gold has been regarded as a safe haven asset, offering protection during market downturns. Consequently, it is commonly included in investment portfolios to mitigate volatility.

Bitcoin's Performance

Despite Schiff's skepticism, Bitcoin has emerged as a top-performing asset in 2023 and early 2024. After a remarkable 155% surge in 2023, the cryptocurrency has gained approximately 67% in the first quarter of 2024. This momentum was partly driven by the Securities and Exchange Commission's (SEC) approval of spot Bitcoin exchange-traded funds (ETFs).

Analysts' Perspectives

Larry Tentarelli, Chief Technical Strategist at Blue Chip Daily Trend Report, anticipates further Bitcoin gains this year, predicting a value exceeding $100,000. He attributes this potential growth to the upcoming Bitcoin halving event, tentatively scheduled for April 19-20, assuming the 10-year bond yield remains below 4.40%.

Conversely, certain analysts foresee a potential pullback following Bitcoin's recent surge. Schiff has not only accused the media of overhyping Bitcoin but has also highlighted the limitations associated with Bitcoin ETFs.

Gold's Performance

In contrast to Bitcoin's recent volatility, gold has enjoyed a steady upward trajectory, reaching a record high of $2,254.80 at the end of the quarter and peaking at $2,256.90 on Thursday.

Current Market Conditions

At the time of this report, Bitcoin is trading at $70,510.10, reflecting an increase of 0.80%, according to Benzinga Pro data.