The current bitcoin (BTC) crypto rally caught some investors by surprise, with lingering questions about the sustainability of the momentum after extra time bear market in 2022. Some view the gains as temporary, while others believe the next Bitcoin running of the bulls has begun.
Among those maintaining bearish sentiment despite the gains is Peter Schiff, the chief global strategist of Euro Pacific Capital. He sees the current rally as temporary while calling it an opportunity to get out of the market.
For example, on January 12, Schiff tweeted that with Bitcoin trading above $18,000 at the time, it was “a great opportunity for HOLDERS sell.” He had anticipated the collapse of the asset before the release of the consumer price index (CPI) in the United States.
However, the reverse happened and the price of Bitcoin continued to rise despite Schiff’s call to sell. At press time, Bitcoin was trading at $22,869, representing gains of around 27% since Schiff called on holders to sell.
Bitcoin fueled by positive CPI data
Notably, the results for US CPI data fell, suggesting that the Federal Reserve may ease its monetary policy. This served as fuel for the ongoing rally in the crypto market.
It should be noted that this is not the first time that Schiff has been bearish on Bitcoin. After Bitcoin showed signs of recovery during the 2022 bear market, he referred to the momentum like a “sucker rally” and urged investors to exit the market.
Additionally, Schiff believes that gold is superior to Bitcoin. However, as reported per Finbold, he acknowledged that bitcoin’s rally in the last bull market partly helped distract attention from the precious metal.
His bearish stance on the crypto caused the economist to dismiss the need for regulations when different jurisdictions push for laws to govern the sector. According to Shiff, there is no need for rules because the market will likely crash to zero.
Currently, Bitcoin has stabilized its price above the $22,000 mark while facing resistance at $23,000. At one point, the young crypto briefly broke above the $23,000 level, seeing a large inflow of capital.
Disclaimer: The content of this site should not be considered investment advice. The investment is speculative. When you invest, your capital is at risk.