Peter Schiff, a U.S. economist and gold advocate, has attributed the lacklustre performance of gold mining companies to the rising inflation rate, which contrasts with a largely static gold price. Schiff maintains that the U.S. inflation rate would have been even higher if the U.S. Federal Reserve had not increased interest rates. The economist also […]
Bitcoin News
Peter Schiff Warns SEC Could Change Definition of ‘Security’ — Expects Lots of Investors to Be Retroactively Fined
Economist and gold advocate Peter Schiff has sounded the alarm about the U.S. Securities and Exchange Commission (SEC) potentially changing the definition of a “security.” He cautioned: “Now that the U.S. Appeals Court has upheld the SEC’s authority to unilaterally change the definition of a ‘dealer,’ I expect lots of private investors to be retroactively […]
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Robert Kiyosaki Predicts US Collapse, Peter Schiff Warns of BTC Massacre, Grayscale Study on BTC Halving, and More — Week in Review
Robert Kiyosaki predicted the downfall of the American empire, likening its fate to that of the Roman Empire, and advised investing in bitcoin, gold, and silver as a safeguard. Conversely, economist Peter Schiff described the recent bitcoin price surge as a “pump-and-dump” scheme. A Grayscale study on the upcoming Bitcoin halving in 2024 highlights a […]
Bitcoin News
Peter Schiff Warns of Bitcoin ‘Pump and Dump’ — Expects to See a ‘Massacre’
Economist and gold bug Peter Schiff has warned that the current bitcoin price surge looks like “another classic pump-and-dump.” Noting the significant excitement around the new spot bitcoin exchange-traded funds (ETFs), he expressed his skepticism, stating: “I wonder when the massacre will begin.” Peter Schiff on Bitcoin ‘Pump and Dump’ The price of bitcoin soared […]
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Economist Peter Schiff Discusses Likelihood of a Fed Interest Rate Cut in March
Economist Peter Schiff says Federal Reserve Chairman Jerome Powell taking the March rate cut off the table “may have actually raised the probability that the Fed will indeed serve up the first rate cut in March.” Moreover, Schiff explained that the Fed’s job is actually to create inflation and then pretend to fight it. “The Fed creates inflation to both enable the federal government to run large budget deficits and to prop up financial markets,” the economist emphasized.
Peter Schiff on Fed Rate Cut and Inflation
Economist and gold bug Peter Schiff shared his perspective on the U.S. economy, the Federal Reserve’s policy, and the likelihood of a March interest rate cut in a series of posts on social media platform X this week.
The Fed decided to leave interest rates unchanged on Wednesday. Federal Reserve Chairman Jerome Powell also indicated that the Federal Open Market Committee (FOMC) won’t cut rates in March. “I don’t think it’s likely that the committee will reach a level of confidence” by the March meeting, Powell said. Commenting on the Fed chair’s statement, Schiff opined:
By taking the March rate cut off the table, Powell may have actually raised the probability that the Fed will indeed serve up the first rate cut in March. That’s because now that Powell has pulled the rug out from under the stock market, he may be pressured to prop it back up.
In another X post, Schiff detailed: “Powell cited actual rent rising more slowly than owners’ equivalent rent as a reason for optimism on inflation coming down. Yet he completely ignored actual rent rising much faster than owners’ equivalent rent when he mistakenly claimed that rising inflation was transitory.”
He added: “Powell claimed that if inflation falls below 2% the Fed would have to do something about it. In other words, despite several years of inflation well above 2%, the Fed won’t tolerate any years where it’s below 2%. So much for the policy of inflation averaging 2% over time.”
Schiff further noted: “The Fed officially let everyone know it’s done hiking rates, but dialed back expectation for when it will start cutting. I wonder how long it will take before the financial community realizes just how bad the recession will be or how much bigger the inflation problem will get.”
Regarding the Fed’s efforts to fight inflation, Schiff wrote on Thursday:
In reality the job of the Fed is to create inflation, then deny it exists, lie about its cause, blame others for the problem, and pretend to fight it. The Fed creates inflation to both enable the Federal Government to run large budget deficits and to prop up financial markets.
Do you agree with Peter Schiff? Let us know in the comments section below.
Peter Schiff Says All Spot Bitcoin ETFs Are Now in Bear Markets — Warns of Deeper Losses
Gold bug and economist Peter Schiff has warned of deeper losses for spot bitcoin exchange-traded funds (ETFs), emphasizing that they are “now in bear markets.” Referencing the Proshares Bitcoin Strategy ETF which is down more than 50% in over two years, Schiff predicted that those who bought the newly approved spot bitcoin ETFs “will experience even worse results.”
Peter Schiff’s Spot Bitcoin ETF Outlook
Gold bug and crypto skeptic Peter Schiff expects deeper losses for the newly launched spot bitcoin exchange-traded funds (ETFs). He shared his outlook in several posts on social media platform X this week.
The price of bitcoin rose above K in anticipation of the spot bitcoin ETF approval by the U.S. Securities and Exchange Commission (SEC). However, BTC embarked on a downward trajectory following the approval, dropping below K on Monday and K on Tuesday. Schiff described on Monday:
All the spot bitcoin ETFs are now in bear markets, defined as a drop of 20% or more from the peak.
He added, “The biggest loser is FBTC [Fidelity Wise Origin Bitcoin Fund], down 32%.” In a follow-up post, he wrote: “The Proshares Bitcoin Strategy ETF, which tracks bitcoin futures, launched in Oct. 2021. BITO began trading at .88. So far today’s low was , down more than 50% in over two years. I think those who bought any of the 11 spot bitcoin ETFs will experience even worse results.” At the time of writing, BITO is trading at .04, down nearly 52% since inception.
After the price of bitcoin dropped below K on Tuesday, Schiff detailed on X: “The new bitcoin ETFs aren’t creating additional demand, but merely shifting demand. Investors who might have bought actual bitcoin, bitcoin-related equities like MSTR [Microstrategy stock], or GBTC [Grayscale’s bitcoin trust] are simply buying the new ETFs instead. Rearranging the deck chairs won’t stop the ship from sinking.”
Schiff added: “One of the biggest losers from the new bitcoin ETFs is COIN [Coinbase stock]. Even though Coinbase custodies bitcoin held in these ETFs, speculators who once traded bitcoin through Coinbase are now trading the ETFs instead. Also, many who bought COIN as a bitcoin proxy are now buying the ETFs.” On Monday, JPMorgan also downgraded Coinbase stock from Neutral to Underweight, with a price target of . At the time of writing, COIN is trading at 4.19.
Earlier this month, the economist warned that spot bitcoin ETFs will bring speculator selloff and minimal institutional demand. He also expects the chairman of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, to introduce onerous crypto regulations that would sink the price of bitcoin.
What do you think about Peter Schiff’s spot bitcoin ETF warning? Let us know in the comments section below.
Peter Schiff Predicts Bitcoin Bloodbath — Expects SEC Chair Gary Gensler to Introduce ‘New Onerous Crypto Regulations’
Economist and gold bug Peter Schiff has predicted that U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler “will soon introduce new onerous crypto regulations” that will result in “a sharp decline” in the price of bitcoin. Schiff expects the new regulations to focus on anti-money laundering (AML) rather than securities law.
Peter Schiff’s Crypto Predictions: Onerous Regulations, Sharp Bitcoin Price Decline
Economist and gold bug Peter Schiff, a vocal bitcoin skeptic, has shared his predictions on crypto regulations and BTC’s price outlook following the U.S. Securities and Exchange Commission (SEC)’s approval of spot bitcoin exchange-traded funds (ETFs). He wrote on social media platform X Tuesday:
Since Gary Gensler was backed into a corner on spot bitcoin ETF approval, I think he will soon introduce new onerous crypto regulations that will substantially increase the cost of Bitcoin transactions, further undermining its ‘use’ case, resulting in a sharp decline in price.
Gensler previously stated that most crypto tokens, other than bitcoin, are securities. Noting that the SEC chairman “may even change his mind on bitcoin,” Schiff stressed in a follow-up post: “My thought is that new regulations will relate to AML, not securities law.”
Many users on X replied to Schiff’s posts to express their opinions. One emphasized, “I wouldn’t call Gensler being required to stay lawful ‘being backed into a corner.’” Others questioned how Gensler could possibly raise Bitcoin transaction costs. “Gary Gensler controls the Bitcoin mempool?” one wrote. Another user opined: “How can Gary and the SEC increase the cost of Bitcoin transactions? Are they gonna spend a lot of money on bidding for block space?”
Several users highlighted Gensler’s past statements on bitcoin as a commodity. One mentioned:
Gary Gensler has repeatedly stated that bitcoin is a commodity. It will be hard for him at the SEC to regulate, even the on ramps and off ramps (unless those on ramps and off ramps deal in unregistered securities).
“SEC enforces securities laws and protects investors in securities,” the same user noted, adding that anti-money laundering (AML) regulations are covered more broadly by other agencies, such as the Financial Crimes Enforcement Network (FinCEN).
What do you think about Peter Schiff’s predictions regarding Gary Gensler introducing onerous crypto regulations that will sink the price of bitcoin? Let us know in the comments section below.
Bitcoin On Thin Ice: Peter Schiff Warns Impending SEC Regulations Could Tank Prices
Prominent economist and vocal crypto skeptic Peter Schiff has once again stirred the pot with his latest prognosis on Bitcoin (BTC). Schiff, known for his critical stance on digital currencies, has raised eyebrows with his latest post, where he warns of impending regulatory changes that could trouble Bitcoin’s transaction costs and future price trajectory.
Regulatory Changes On The Horizon
Schiff’s warnings are anchored in his belief that the US Securities and Exchange Commission (SEC), under the leadership of Gary Gensler, is poised to introduce new, more stringent regulations for cryptocurrencies.
According to Schiff, these regulations will likely significantly increase the operational costs of Bitcoin transactions. He argues that this hike in transaction costs will erode Bitcoin’s practicality as a digital currency, potentially leading to a sharp decrease in its market value.
Since @GaryGensler was backed into a corner on spot #BitcoinETFs approval, I think he will soon introduce new onerous #crypto regulations that will substantially increase the cost of #Bitcoin transactions, further undermining its “use” case, resulting in a sharp decline in price.
— Peter Schiff (@PeterSchiff) January 17, 2024
Schiff interprets Gensler’s recent actions, especially regarding approving spot Bitcoin exchange-traded funds (ETFs), as a precursor to these anticipated regulatory measures.
Despite the looming threat of increased regulation, some industry observers have pointed to Gensler’s previous classification of Bitcoin as a commodity. This categorization, they argue, might present challenges to the SEC’s scope of regulation.
However, Schiff counters this view by suggesting that the focus of any impending regulatory changes could be more aligned with anti-money laundering efforts rather than strictly within the ambit of securities law.
He thinks most are securities. But he may even change his mind on Bitcoin. But my thought is that new regulations will relate to AML, not securities law.
— Peter Schiff (@PeterSchiff) January 17, 2024
Technical Analysis Adds To Bearish Sentiment On Bitcoin
Supporting Schiff’s bearish outlook, market analyst Bitcoinhyper has recently identified a bearish pattern on Bitcoin’s chart. According to the analyst, a double-top pattern on the stochastic oscillator, a well-regarded momentum indicator, has emerged, signifying potential bearish movement ahead.
This technical observation aligns with recent market trends, where Bitcoin has shown downward movement following the formation of this pattern. Bitcoinhyper’s analysis supports the idea of further corrections, suggesting that Bitcoin’s peak might already be established.
As Bitcoin navigates through these uncertain waters, on-chain data from IntoTheBlock presents another challenge. The data shows that Bitcoin is currently facing a robust on-chain resistance zone.
This resistance is gauged by the volume of Bitcoin acquired by investors within the price range of ,700 to ,000. Approximately 2.68 million addresses holding over a million BTC are clustered in this range, creating a formidable barrier for price movements.
Bitcoin’s trading price currently hovers around ,601, reflecting a 0.9% decrease over the last 24 hours and nearly a 5% decline over the past week. This price action is further compounded by a notable decrease in trading volume, which has dipped from last week’s billion to below billion today, indicating reduced market activity.
This sluggish market performance comes in the wake of fading excitement over the recent spot ETF approvals and an absence of significant market-driving news.
Featured image from Unsplash, Chart from TradingView
Peter Schiff Expects Spot Bitcoin ETFs to Bring Speculator Sell-Off, Minimal Institutional Demand
Economist and gold bug Peter Schiff expects the approval of spot bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC) to be a nonevent. The crypto skeptic explained that there is “really no need for a bitcoin ETF, as you can buy and store bitcoin yourself for free.” He predicted: “There will be minimal investor demand and the speculators who bought on the news will likely sell on the fact.”
Schiff Throws Cold Water on Spot Bitcoin ETF
Peter Schiff, chief economist at Euro Pacific Asset Management and founder of Schiff Gold, expressed his view on the expected approval of spot bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC) in a series of posts on social media platform X this week. The first deadline this year for the SEC to approve a spot bitcoin ETF is Jan. 10 for a joint proposal from Cathie Wood’s Ark Invest and 21shares.
“Be careful what you wish for,” Schiff wrote on X Tuesday. “The promise of a U.S.-listed spot bitcoin ETF has been supporting the bitcoin price and speculative demand for years. Once the ETFs are launched and the highly anticipated institutional and other new investor demand does not show up, look out below!” The gold bug added:
There is really no need for a bitcoin ETF, as you can buy and store bitcoin yourself for free. What’s the point of owning it in an ETF anyway?
Following a 7% plunge in bitcoin’s price fueled by a rumor that the SEC will continue to reject spot bitcoin ETF applications this month, Schiff doubled down with another post on X Wednesday. “As I warned, it’s likely that the bitcoin ETF will not be a ‘buy the rumor, sell the news’ event, but a ‘buy the rumor, sell the rumor of the news’ event. Those who wait for the actual news to sell their bitcoin may discover that there are very few speculators left to buy!” he cautioned.
Schiff does not expect institutional investors to flock to spot bitcoin ETFs. Sharing his predictions on Dec. 20, the economist wrote:
The introduction of a spot bitcoin ETF will prove to be a non event. It will be historically insignificant. There will be minimal investor demand and the speculators who bought on the news will likely sell on the fact.
Meanwhile, many people believe spot bitcoin ETF approvals by the SEC will boost the price of bitcoin. Vaneck’s director of digital assets strategy said people tend to underestimate the long-term impact of spot bitcoin ETFs. Ark Invest CEO Cathie Wood expects a significant boost in the price of BTC, and Galaxy Digital CEO Mike Novogratz believes the price will climb considerably. Moreover, venture capitalist Tim Draper has doubled down on his 0,000 prediction for bitcoin this year.
What do you think about Peter Schiff’s spot bitcoin ETF predictions? Let us know in the comments section below.
Peter Schiff Says ‘Big Surprise’ Awaits in 2024 — Warns of Crash, Recession, High Inflation Returning With Vengeance
Economist Peter Schiff has shared some predictions for 2024. “The big surprise in 2024 will not only be that the economy crashes into recession, but that high inflation returns with a vengeance,” he described. The technicals are breaking down for the U.S. Dollar Index, he added, emphasizing: “This couldn’t come at a worse time. The Fed is planning interest rate cuts, which will not only accelerate the decline, but put renewed upward pressure on inflation.”
Peter Schiff’s 2024 Economic Predictions
Gold bug and economist Peter Schiff shared his predictions for 2024 in a series of posts on social media platform X Wednesday.
“Investors are convinced the Fed has succeeded in restoring price stability without causing a recession, pulling off a miraculous soft landing,” Schiff described, warning:
The big surprise in 2024 will not only be that the economy crashes into recession, but that high inflation returns with a vengeance.
“The U.S. Dollar Index is below 101 for the first time since July, down over 12% from its 2022 high. The near 30% rise in the dollar off its 2021 low is the main reason headline CPI declined so much. All of those gains may be lost in 2024, sending annual inflation to new highs,” Schiff explained.
“As the year draws to a close, the Dollar Index continues to sink quietly toward 100 as gold continues to nudge its way toward ,100. Look for these moves to become increasingly more pronounced in 2024, as both the dollar’s fall and gold’s rise accelerate,” the gold bug advised.
While emphasizing that the U.S. Dollar Index closed at its lowest level since July, Schiff explained on Dec. 21: “More importantly, the technicals are breaking down. This couldn’t come at a worse time. The Fed is planning interest rate cuts, which will not only accelerate the decline, but put renewed upward pressure on inflation.”
Moreover, Schiff shared on X Thursday: “The Nov. trade deficit in goods was a larger than expected .3 billion, as the decline in exports exceeded the decline in imports.” He stressed:
This not only indicates a weak and dysfunctional economy, but portends a significant drop in the dollar and rise in imported goods prices in 2024.
In a follow-up post, Schiff stated that the “highly anticipated recession” is “still coming,” emphasizing that all the government spending, credited with preventing the recession by some, “merely delayed the onset, while ensuring the recession is much worse.”
Schiff has constantly cautioned about the U.S. economy and the USD. Last month, he warned of the U.S. dollar being near a “historic crash,” emphasizing that the U.S. economy will not see a soft landing. He said in October that owners of U.S. dollars will get destroyed. He also warned of a deep recession, an inflationary depression, an “unprecedented” financial crisis, and the biggest bond market crash.
What do you think about the predictions by economist Peter Schiff about the U.S. economy and the dollar? Let us know in the comments section below.