In a recent tweet, Peter Schiff, a well-known financial expert, and Bitcoin critic, warned that Bitcoin is on the verge of a significant downturn.
Schiff expressed his belief that risk assets would "break down hard," with Bitcoin leading the decline.
At the same time, he anticipates that precious metals miners will experience a breakout, with gold stocks becoming the new tech stocks.
Schiff's tweet comes as Bitcoin is trading at $27,924 on the Bitstamp exchange.
Schiff has been vocal about his skepticism of Bitcoin's potential as a long-term investment. In previous tweets, he has argued that despite Bitcoin's 20% spike following the Federal Reserve's policy shift, gold remains the better inflation hedge.
Tomiwabold OlajideAdditionally, Schiff has pointed out that Bitcoin is more thinly traded than gold, which may contribute to its vulnerability.
He has even challenged Bitcoin proponents like Michael Saylor, CEO of MicroStrategy, to consider what they will do when Bitcoin's value drops below $3,800, a far cry from its current trading value.
Arman Shirinyan
Vladislav Sopov
Dan Burgin
U.Today Editorial Team