Gold Breaks $4,100 as Bitcoin Sinks – 'Sell BTC Before the Mauling' Peter Schiff Warns

Precious metal gold has broken the $4,100 mark, while Bitcoin struggles to stay above $96,000. Peter Schiff, renowned gold advocate and CEO of Euro Pacific Capital, has issued a stark warning: sell Bitcoin before the pain worsens.

Schiff has long been critical of cryptocurrencies, often clashing with Bitcoin supporters like Michael J. Saylor, executive chairman of Strategy Inc., a company known for accumulating Bitcoin. According to an SEC Form 8-K filing, Strategy purchased roughly $49.9 million worth of Bitcoin on November 3 and 9, at an average price of $102,557.

Currently, Bitcoin trades at around $95,744 — down 22.4% from its peak of $123,344 on 13 August 2025. On 16 November, it dipped to a low of $92,971. Meanwhile, gold closed August at approximately $3,415.30.

The Downward Trend and Market Sentiment

Schiff characterises Bitcoin as akin to fiat money, its value rooted in belief rather than intrinsic worth. The recent decline underscores crypto's inherently unstable and speculative nature. On X, Schiff questioned Bitcoin investors: 'How low must Bitcoin drop before they admit I was "right" all along?'

Data from Coinglass shows that investor sentiment was at 'extreme fear' when Bitcoin slipped below $100,000 on 13 November. The cryptocurrency also appeared to mirror the sell-off in risk assets like tech stocks, with the Nasdaq Composite Index falling 2.3% on the same day. Some analysts now believe the crypto bear market has begun.

Schiff argues that this downturn is more severe than gold's typical volatility. He predicts Bitcoin could surrender all its 2025 gains if the current trend persists.

A Bitcoin supporter countered, suggesting gold might also follow a similar trajectory. Schiff responded, 'Gold is negatively correlated with Bitcoin. A big drop in Bitcoin likely means a big rally in gold is coming.'

Post-Shutdown Outlook and Market Recovery

With the US government shutdown now over, confidence could return to global financial markets, including cryptocurrencies. The reopening might inject new life into Bitcoin, potentially sparking a recovery. However, if support levels falter, the downturn could deepen. Some analysts see a downside target of around $75,000 for Bitcoin, though this is not the worst-case scenario.

Schiff believes that the end of the US shutdown could serve as a catalyst for gold's surge. He sees no further downside for gold and silver, citing increased investor interest driven by central bank policies.

Opposing Views and Philosophies

Schiff has publicly challenged Michael Saylor, who tweeted on X: 'We are buying and reaffirming that Strategy remains secure even if Bitcoin drops as much as 80%.' Saylor defends Bitcoin's volatility as part of its growth phase and describes it as 'digital gold', foundational to digital finance.

Saylor advises long-term investors to focus on Bitcoin and suggests stock investors consider positions in Strategy to tap into digital capital growth. Financial author Robert Kiyosaki shares Saylor's bullish stance on Bitcoin but also advocates for gold and silver.

For Schiff, however, Saylor's strategy is misguided. He dismisses Bitcoin as lacking intrinsic value, asserting that it will ultimately return to zero.

Disclaimer: Our digital media content is for informational purposes only and does not constitute investment advice. Please conduct your own analysis or seek professional guidance before investing. Remember, investments are subject to market risks, and past performance does not guarantee future results.