The crypto market has been trying to recover after Bitcoin [BTC] dropped close to $62,000 over the last two days.
During this fall, Peter Schiff never missed a chance to criticize Bitcoin, calling it a “bubble” and suggesting this could be the start of its collapse.
But Bitcoin is now showing some signs of recovery. After the dip, the world’s largest cryptocurrency bounced back to around $68,197, rising nearly 4.75% in the past 24 hours.
Peter Schiff slams Bitcoin once again
Still, Schiff took to X and noted,
“Imagine what would happen to Bitcoin if Trump posted the following on Truth Social. “I guess that jerk stock broker Peter Schiff was right. Bitcoin is a Ponzi.””
Interestingly, this time, Schiff changed his tone slightly.
Instead of only criticizing Bitcoin on technical or economic grounds, he started linking its volatility to politics, especially the support that he believes BTC receives from U.S. President Donald Trump and his administration.
Schiff’s argument suggests that Bitcoin is surviving because of political backing and that if government support shifts, the asset could suffer.
Did this comment impact Bitcoin’s price?
But the market reacted differently. When Schiff’s comments began circulating, Bitcoin was trading around $64,236, but then the price moved up sharply toward $68,000.
However, this rally was not necessarily about supporting Trump or rejecting Schiff’s views. A closer look at the charts shows a more basic explanation.
There was no major news or strong fundamental reason behind the rise. Instead, many traders who had bet on the price falling, i.e., the short sellers, were forced to close their positions as Bitcoin started climbing.
For context, when short sellers rush to buy back Bitcoin to limit their losses, it pushes the price up even faster, also known as a short squeeze.
So, rather than being a political statement, the move looks more like a technical bounce.
A mixed bag of critics and supporters
As expected, the crypto community pushed back on the comments made by Schiff and said,
“If one person’s post can kill it, it was never Bitcoin. That’s the whole point.”
Echoing similar sentiments, another user added,
“Markets react to headlines. Protocols don’t. Bitcoin isn’t governed by social media posts.”
However, some also supported Schiff’s narrative, as highlighted by another X user who argued,
“Schiff’s been predicting bitcoin’s collapse since $200. we’re already down 49% from ath without any trump post needed. still waiting.”
Is Schiff correct this time?
All in all, the current market fear comes from a simple contradiction. Bitcoin’s biggest rally, when it reached around $124,500, happened after Donald Trump returned to the U.S. presidency.
But Peter Schiff is now trying to turn that story around. He argues that the $124K peak was not a sign of long-term strength. Instead, he believes it was a political bubble, driven more by excitement than by real fundamentals.
In fact, recently, too, Schiff argued that selling gold to buy Bitcoin was a “huge mistake.”
In simple terms, Schiff is saying that the same political support that pushed Bitcoin up could also lead to its fall.
But for now, it remains only a theory. The market appears to be tuning out the noise and focusing on the fact that Bitcoin is still standing strong.
Final Summary
- The recovery from $62,000 to near $68,000 shows buyers are still active at key support levels.
- Schiff links Bitcoin’s strength to political backing, but the market’s recent move looks technical, not political.
