Peter Schiff, a prominent advocate for gold and a known skeptic of Bitcoin, has expressed concerns that Bitcoin may be entering a deeper bear market. Schiff contends that Bitcoin’s recent performance pales in comparison to gold, raising questions about its viability as a “digital gold” and a dependable store of value, especially following what many expected to be price-boosting developments for the cryptocurrency.
In a recent post on social media, Schiff highlighted a significant drop in Bitcoin’s value when measured against gold, claiming that since reaching its all-time high in November 2021, Bitcoin has lost approximately 30% of its worth in gold terms. This downturn occurs despite a series of favorable events for the cryptocurrency market, including several Bitcoin exchange-traded funds (ETFs) launching, large-scale Bitcoin acquisitions by firms such as MicroStrategy, the first pro-Bitcoin president’s election, and the establishment of a Bitcoin Strategic Reserve.
Schiff’s critical view aligns with recent reports indicating that MicroStrategy’s latest Bitcoin purchases have not fared well financially. Data from Saylortracker reveals that Bitcoin acquisitions made on various dates in early 2025 have suffered losses anywhere from 2.2% to 15.44%. Only one specific transaction, a purchase of 130 BTC on March 17, has shown a modest gain of 0.43%.
These financial circumstances challenge the narrative that Bitcoin serves as an effective hedge against inflation or economic uncertainty, a role traditionally associated with gold. Schiff has long maintained that Bitcoin lacks the intrinsic value and historical reliability that underpins gold as a trusted asset for preserving wealth.
Although Bitcoin trades near the $68,000 mark, its pronounced price volatility and subpar performance relative to gold have caused concern among investors. Analysts are increasingly questioning Bitcoin’s status as a “safe haven,” especially as it appears to move more in line with risk assets during times of market distress instead of functioning like a safe retreat.
Moreover, macroeconomic factors such as escalating trade tensions, fluctuating interest rates, and a general sense of financial instability worldwide contribute to an environment that poses challenges for cryptocurrencies. As these pressures persist, they may weigh down Bitcoin’s price in the foreseeable future.
Nevertheless, not all experts share Schiff’s pessimistic viewpoint. Many Bitcoin proponents argue that institutional adoption and improved regulatory clarity could ultimately lead to favorable price movements in the long term. Supporters of Bitcoin point to its fixed supply and rising global interest as key indicators that could facilitate future value growth.
In summary, the ongoing debate about Bitcoin’s role in the financial ecosystem continues, with proponents and detractors contributing to a complex narrative about its potential as both a currency and a store of value. As developments unfold in the cryptocurrency sphere, the market awaits to see how Bitcoin will navigate the challenges it faces and whether it can sustain its position amidst the shifting economic landscape.
