Peter Schiff, the chief executive of Euro Pacific Capital and Chairman of Schiff Gold, is an outspoken bitcoin hater. His animosity against the top cryptocurrency can be traced as far back as June 21, 2011.
In his very own radio show, Schiff fervently expressed how bitcoin had no intrinsic value. He said,
Intrinsically, the bitcoin itself has no value. It only has value as a medium of exchange so long as people are willing to accept it.
The talk show host then proceeded to emphasize the value of gold. He said,
Gold has value all by itself. I don’t have to be able to spend it. I can melt it down. I can make it into jewelry. I can use it in electronics. It has all sorts of properties that make gold intrinsically valuable all by itself.
At the time, the dominant cryptocurrency was trading around $20. On the other hand, gold was valued at $1,500 per ounce. With such a wide disparity in price, it would have made sense to listen to Schiff to drop bitcoin in favor of the precious metal.
If you did, not only did you lose some money investing in gold but you also missed out on the biggest bull run of this decade – and one of the largest in history.
In 2015, Schiff predicted that gold would skyrocket to $5,000 per ounce. More than three years later, the precious metal is still trading below $1,500.
It appears that there’s no changing Schiff’s mind even if the numbers are overwhelmingly against his calls.
Since his June 2011 statement that bitcoin had no intrinsic value, the cryptocurrency had surged by over 44,400% to date. On the other hand, those who followed the chairman of SchiffGold and invested in bullion lost 1% of their capital after eight long years of waiting.
In spite of these developments, Schiff continues to criticize bitcoin while hyping gold.
We spoke to an ardent gold follower Lawrence Lepard. When asked about the end of the year price target of the commodity, the investment manager replied,
I think we will see $1,650.
Thus, the precious metal appears to have about an 11% upside potential by the end of 2019.
On the other hand, various experts predict that bitcoin can rise to anywhere from $9,000 to $25,000 before the end of the year.
In addition, Ricky Li, co-founder of Altonomy, shared his thoughts on the near-term price action of the cryptocurrency. In an interview with CCN, Mr. Li said,
When BTC’s price fell below the $9,000 range for the first time in months, it broke down the main support level of the descending triangle that [it] has traded [in] since June’s peak at $13,000. That support level has now become the new resistance.
Short-term sentiment is difficult to turn at the moment, but long-term prospects are still attractive.
From the calculations of these experts, bitcoin could rise by a minimum of 12% and a maximum of over 212% in three months. If you’ve been listening to Peter Schiff, perhaps it may be time to reconsider the authorities you look up to.
This article was edited by Sam Bourgi.
Last modified: October 3, 2019 11:16 UTC