Bitcoin critic Peter Schiff recycles collapse warning as silver surges

Peter Schiff is back with another warning on Bitcoin, this time tying it directly to silver’s explosive rally. The long-time precious metals advocate believes Bitcoin is heading towards a sharp downturn, one that will look even worse as silver continues to surge.

On January 19, silver broke $94, continuing a trend that has transformed the precious metals market over the previous 12 months. Due to increased industrial demand and limited supply, prices have consistently reached new highs since 2024.

Real demand drives silver’s climb

Schiff took advantage of this to issue his most recent warning. “What’s happening with silver is about to happen with Bitcoin, only in reverse,” he said in a post on X. “Bitcoin’s disastrous demise will be brought on by silver’s meteoric surge. Don’t claim that I didn’t warn you.”

His comments quickly sparked new debates between supporters of traditional investing and digital assets. These types of arguments are nothing new for Schiff, who has long contended that Bitcoin is worthless.

Similar increases in the usage of silver have been observed in facilities housing semiconductor makers and data servers, resulting in continuing supply shortfalls that drive up prices.

Bitcoin has struggled to match silver’s results. Although BTC rose above $97,000 earlier this month during a brief surge, it failed to maintain those levels. Worries about larger market conditions, including new trade tensions connected to President Donald Trump’s tariff threats, have kept speculative assets under pressure.

Members of Congress continue to create pertinent regulations, while Bitcoin continues to draw institutional capital through exchange-traded funds. However, during times of economic uncertainty, major progress has been impeded by its increasing correlation with equity market patterns.

Schiff has a long history of failed predictions.

Schiff has a long history of making incorrect forecasts. More than a dozen times, in fact. Every time, the advice is the same: sell Bitcoin and invest your money in gold or silver mining stocks instead.

The problem is, his track record isn’t great. Bitcoin has gone on to hit multiple all-time highs despite those warnings, often climbing to levels he once insisted it would never reach.

Still, Schiff argues that Bitcoin has no fundamental value because it isn’t used to build anything, unlike silver. In his view, Bitcoin’s price is driven more by hype and speculation than anything tangible, which is why he believes it could unravel suddenly.

He has compared the rise of Bitcoin to infamous financial bubbles in the past, claiming that when investor sentiment changes, the drop would be rapid and severe.

Currently, Bitcoin is struggling. Institutional purchasing has been inconsistent, retail demand has declined, and uncertainty from trade tariffs to ongoing international conflicts continues to impact the overall picture.

Still, unlike in other downturns, it hasn’t totally collapsed. Although confidence was shaken by the steep decline on October 10, prices swiftly recovered. Many in the crypto community saw this as a sign that the price is still on its way up.

This divide is clear in the reactions to Schiff’s latest post. Silver fans point to the metal’s physical uses as proof of its value, while Bitcoin fans mostly ignore Schiff because of his past mistakes. Some critics even pointed out that Schiff sees a price drop in silver as a chance to buy more, but sees any drop in Bitcoin as proof that it is dying.

Bitcoin is still confined to a small trading range, while silver keeps reaching all-time highs. The way the market responds to impending economic and policy events will determine whether Schiff’s prediction turns out to be accurate or simply another failure.

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