Bitcoin's Value Drops 24% Against Gold, Says Schiff
1min read Peter Schiff, a well-known financial expert, recently sparked a debate by sharing his perspective on Bitcoin's performance. He argued that Bitcoin has been in a bear market for years, but this has gone unnoticed because people are measuring it incorrectly. Schiff's analysis focuses on Bitcoin's value relative to gold, an asset he strongly advocates for as the ultimate form of money.
Schiff pointed out that at Bitcoin's peak in 2021, one Bitcoin could buy 36.3 ounces of gold. However, as of now, that same Bitcoin is worth only 27.7 ounces of gold, representing a 24% decline. This comparison suggests that Bitcoin has been losing value against gold over the years, despite the frequent price fluctuations and spikes that often grab headlines.
Schiff's argument extends beyond Bitcoin's decline relative to gold; he believes that gold remains the dominant financial asset and the true store of value. He directed this view towards Michael Saylor, the CEO of Strategy, who is a prominent advocate for cryptocurrency. Schiff's point is that gold, with its thousands of years of history, has proven its resilience over time, whereas Bitcoin, which has been around for just over a decade, has yet to demonstrate the same longevity.
Schiff's comments come at a time when Bitcoin continues to be a contentious topic. Proponents of Bitcoin argue that it serves as a hedge against inflation and represents a groundbreaking financial tool. On the other hand, skeptics like Schiff question its long-term value and consider it a risky asset similar to tech stocks.
