Peter Schiff, the investor known for his negative commentary on Bitcoin, is in the news again. Taking a leaf out of the Oracle of Omaha’s playbook, the popular Bitcoin skeptic referred to the market’s leading cryptocurrency as “Rat poison cubed,” during a recent interview with Fox News’ Liz Claman.
“Eventually the bubble is going to pop and the price is going to be lower than when Charlie Munger called it rat poison.”
This isn’t the first time Schiff has called the crypto-market a bubble. What is interesting this time around is the fact that these statements come on the back of Bitcoin climbing to a record high of $42,000 earlier this month. It should be noted, however, that BTC has since fallen significantly, with the cryptocurrency hovering above the $30,000-level on the price charts, at press time.
Source: Bitcoin Fear & Greed Index
The aforementioned drop in the cryptocurrency’s value had a glaring impact on the Fear and Greed Index as well. While the FGI noted a reading of 75 yesterday, a reading that highlighted greed, the same was down to 40 at press time, a figure suggesting that fear was creeping back into the market.
Schiff wasn’t done yet. He also commented on the nature of Bitcoin investors, with most falling under the category of ‘HODLing’ Bitcoin under the assumption that the cryptocurrency will soon see a six-digit price attached to its name.
“Most people are going to lose a bunch of money on Bitcoin,” he said, adding that “the people that make money are going to be the ones that sell, but there’s not that many of those [people].”
With the reality of a correction setting in, the present environment is filling up with a lot of FUD. However, contrary to Schiff’s comments, popular Bitcoin proponents such as global macro investor Raoul Pal see the “ugly price” as an opportunity. In a recent tweet, he said,
“For longer-term HODLers of BTC and ETH this is probably a good time to start accumulating more. Personally, Ive added more ETH and now time to add more speculative crypto.”