Bitcoin is the Ultmate Bubble: Peter Schiff Resumes Bashing Spree
Euro Pacific Asset Management founder Peter Schiff, a cryptocurrency skeptic, recently warned that Bitcoin is the “ultimate asset bubble” as Bitcoin price soared.
Bitcoin price was flying somewhere above $61,500 when Schiff made his warning. At the time of this writing, four days later, BTC is trading above $65K.
Peter Schiff Warns of Bitcoin Bubble
“Typically, when an asset bubble develops, there’s at least some underlying value in an over-priced asset. But with #Bitcoin, there’s no value at all,” wrote Schiff Thursday in a post on X, formerly Twitter.
Typically when an asset bubble develops, there’s at least some underlying value in an over-priced asset. But with #Bitcoin , there’s no value at all. Effectively it’s an asset bubble without a real asset. The ultimate bubble. That may be why it’s grown so large and lasted so long.
— Peter Schiff (@PeterSchiff) February 29, 2024
He’s not the only one who says so. It’s a claim echoed by J. P. Morgan CEO Jamie Dimon, who referred to Bitcoin as a “pet rock,” consigning the cryptocurrency to the Beanie Baby bin of marketable value.
Bitcoin Price Reflects Real Value
It is interesting, though, that Schiff says so too because the underlying value in Bitcoin may be more clear to him than anyone else. Regulators recently shut down his 100% solvent bank in Puerto Rico.
“It’s been 20 months since Puerto Rico regulators unjustly put my totally solvent bank into receivership to ‘protect’ customers, under the pretense the bank was critically insolvent,” Schiff wrote in another post on Thursday. “Since then,ф the inept receiver has made a fortune while bank customers haven’t recovered one penny.” – Said Schiff.
Bitcoin has historically had a market expansion every two or three years that has then corrected by as much as 50% each time. But that doesn’t make the cryptocurrency any different than real estate, stocks, or gold. These assets also experience big increases and sharp corrections.
