Key Takeaways
- The price of Bitcoin has been suspiciously stable following the epic collapse of FTX less than 2 months ago
- The whales are defending the Bitcoin price at $16,000 waiting for interest to flood back into Bitcoin
- It’s hard to imagine a bigger hype train than 2021 which means Bitcoin may not make a new all-time high
Beyond allegations of mismanagement and outright fraud, the collapse of the FTX cryptocurrency exchange reveals a more fundamental problem — the power of speculative manias fueled by central-bank easy money.
Peter Schiff recently appeared on NTD Capital Report to talk about the collapse of FTX, saying ultimately it was the Federal Reserve’s fault. And it is a warning sign for the broader economy.
The collapse of the FTX crypto exchange has been in the news. As SchiffGold analyst Tony wrote, “FTX isn’t the canary in the coal mine (that was Celsius, or one of the other firms that crashed this year). FTX is the coal mine, and it just collapsed.”
Three key takeaways:
- For weeks, the Bitcoin market has looked propped up by the whales, especially after the recent FTX disaster.
- Bitcoin hodlers should strongly consider moving into gold, silver, or at least Ether.
- Full disclosure, I have a complicated relationship with Crypto.
Peter Schiff appeared on Fox Business Live with Charlie Payne to debate bitcoin with Layah Heilpern. Peter argued that the only reason to own bitcoin is speculation and that gold is a much better hedge.
Is bitcoin an inflation hedge?
Peter Schiff recently appeared on RT Boom Bust with Natalie Brunell of Coin Stories to discuss inflation and whether bitcoin is a hedge. Peter said bitcoin is not an inflation hedge. He called it a “speculative token” with its price driven by supply and demand.
But what about gold? It didn’t perform like an inflation hedge in 2021 despite the inflation freight train. Peter said the reason gold has had some problems is because the market wrongly believes the Fed.
The other day a friend of mine asked me, tacos or burritos?
My response: why not both?
Last week, Peter Schiff appeared on NTD News to talk about the Federal Reserve’s increasing dovishness. He said despite all of the assurances from Jerome Powell that the central bank’s monetary policy isn’t stoking inflation, the economy and the dollar are both at risk for collapse. The Fed is the only thing standing in the way and it can’t stand there forever.
During this interview, Peter also touched on his recent Twitter debate with Elon Musk about bitcoin.
As turmoil continues in the markets with stocks selling off due to continued fears over coronavirus and its potential economic impact, Peter Schiff says gold is doing exactly what it’s supposed to do — serving as a safe haven and a store of value.
