Peter Schiff Warns Bitcoin Could Crumble Before the Dollar

Peter Schiff said Bitcoin could be the first victim of a dollar crisis as metals like gold and silver gain investor confidence.

Peter Schiff, a veteran Bitcoin critic, has warned cryptocurrency investors that BTC could be the first to lose value if the US dollar crashes.

His prediction comes as more people continue to put their money into gold and silver, driving up the metals’ prices.

Schiff Claims Bitcoin Could Crash Before the US Dollar

The economist recently suggested that the potential crash of the OG crypto would precede a collapse of the dollar. “The first victim of the gold and silver wave will likely be Bitcoin. Before the US dollar crashes, we will likely have a Bitcoin crash,” Schiff wrote on X.

His comments come as gold recently rose above $4,300 an ounce, while silver rose above $66. With precious metals hitting record highs, the Bitcoin critic says this shows that people are clearly placing more trust in these assets during periods of uncertainty.

On the other hand, BTC has been experiencing some volatility lately. At the time of writing, it was trading near $87,000, down 6.4% in the past week. Schiff, who believes people bought Bitcoin to protect themselves against a weakening U.S. dollar, says the story is losing steam. He warned investors not to rely on it as a precaution during an economic crash, saying it would be like “jumping from the frying pan into the fire.”

This isn’t the first time the financial commentator has questioned Bitcoin’s status as digital gold. After weeks of claiming that the cryptocurrency is in a bear market, he even went so far as to predict that the leading digital currency will soon crash.

Crypto Community Responds

However, the crypto community has disputed the gold advocate’s latest comment. Crypto entrepreneur Daniel Tschinkel said that history shows that no paper money lasts forever, and that the dollar is unlikely to be any different. He explained that expecting Bitcoin to fail before the dollar is missing the bigger picture. According to him, the cryptocurrency is not intended to replace gold, but to make it easier to move and access value. He added that people should not focus on Bitcoin’s price fluctuations, but rather the slow loss of faith in fiat currency.

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Another X user chimed in pointing that BTC survived multiple ‘death’ predictions and still came back stronger. They added that it serves a different role, stating: “Gold and silver protect purchasing power. Bitcoin protects sovereignty.” According to them, during a crisis people typically prioritize preserving assets over seeking freedom, but this does not indicate Bitcoin’s failure; it simply shows the normal order in which investors exit.