Schiff Doubts Bitcoin's 'Digital Gold' Status

Prominent Bitcoin critic and economist Peter Schiff has renewed his attacks on Bitcoin, claiming its status as "digital gold" is being exposed. He points to Bitcoin's slowing growth in the face of rising inflation and stagflation concerns, alongside market pressures from tariff uncertainty.

Schiff's Criticism of Bitcoin

In a recent X post, Schiff argued that the narrative of Bitcoin as a digital gold hedge is failing. He contrasted Bitcoin's performance with gold's record highs, questioning why a "digital gold" would fall while its physical counterpart rises. He further criticized the US Strategic Bitcoin Reserve, calling it a "crypto scam" and blaming the Trump administration's promotion of crypto for potentially leading to American losses. While previously acknowledging the rationale behind a Bitcoin reserve, Schiff remains firmly opposed to the concept.

Bitcoin's Potential Rebound

Counter to Schiff's pessimistic view, crypto analyst Ali Martinez suggests a potential Bitcoin price rebound. He cites a recent drop in BTC's sell-side ratio to 0.086%, noting that levels above 0.1% in the past two years have preceded significant price increases. Further supporting this positive outlook, Martinez highlights continued accumulation by long-term holders, with 650 BTC (over $55 million) moved recently, and institutional investors like MicroStrategy's recent purchase of 6,911 BTC for $584 million.

Note: The views expressed by Peter Schiff and Ali Martinez represent their individual opinions and should not be considered financial advice. Always conduct thorough research before making any investment decisions.

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