Economist Peter Schiff has told bitcoin investors to sell off their holdings. Schiff continues to staunchly oppose the cryptocurrency which he believes holds no intrinsic value. His most recent advice to investors comes right on Christmas Day when the festivities have pulled the market into a lull.
Time To Sell Bitcoin
Taking to Twitter, Peter Schiff posted what he called his “Christmas gift” to bitcoin investors. The post followed the usual trend of bashing BTC, with a chart that he used to support his claim. The chart which shows the trend of the digital asset over the last six months pointed out that a support level had been turned into resistance.
Schiff said the chart shows that “bitcoin is much closer to its ceiling than it is to its floor.” As such, he believes that there is little to no potential for the digital asset to make a recovery. Instead, he expects a decline and has advised investors to sell as it is the “Smart move.”
My #Christmas gift to #HODLers is this #Bitcoin chart. As you can see Bitcoin is much closer to its ceiling than its floor. The yellow line that was once support is now resistance. Since the upside potential is so low and downside risk so high, the smart move is to sell today. pic.twitter.com/lPOLABGEQQ
— Peter Schiff (@PeterSchiff) December 25, 2022
As expected, Schiff’s tweet was met with resistance from BTC investors. One of the top comments under the post was of a user who said that the economist telling people to sell was a “major buy signal from Peter Schiff.”
Another user posted a screenshot of one of Schiff’s tweets from 2018 where he warns that buying bitcoin at $3,800 was a bad idea. Three years after that tweet, BTC would reach its all-time high of $69,000, more than 15x the price Schiff warned investors not to purchase it.
Look at Peter, giving out the Christmas presents!
The greatest gift of all has always been a @PeterSchiff fade!
Is this you👇👇👇👇👇 pic.twitter.com/LMcpKHhk6D
— Mr. Anderson (@TrueCrypto28) December 25, 2022
Schiff On Crypto Regulation
In another tweet, Schiff speaks on the current climate around crypto regulation. Since the collapse of FTX, authorities have been ramping up their efforts to regulate the crypto industry to make it safer for investors but the economist thinks that all of this is in vain. Once again, Schiff asks investors to sell their cryptocurrencies because that’s the only way to stay safe.
BTC sitting above $16,800 | Source: BTCUSD on TradingView.com
“Many claim government needs to regulate #crypto so people can be confident that their money will be safe. There’s nothing government can do to make investing in crypto safe. The only safe thing you can do with crypto is sell it. But that just transfers your loss to someone else.”
Nevertheless, there have been calls for proper crypto regulation. The depot governor of the Bank of England (BoE) Sir Jon Cunliffe, told Sky News last week that the collapse of FTX shows that crypto is ‘too dangerous’ to remain unregulated. However, economist Stephen Cecchetti believes that legitimizing crypto with regulations would have adverse effects on the financial system.
Featured image from BeInCrypto, chart from TradingView.com