Peter Schiff Tells Bitcoin Holders to Bail, Predicts Crash Below $10,000

Peter Schiff didn't mince words in an interview with Bitcoin Magazine on Thursday: Bitcoin is heading lower, and anyone still holding should leave before the fall gets worse. His target is blunt — the price is going to head well below $10,000, and he expects it to drop faster than it climbed.

The pitch rests on a streak about to snap. Bitcoin has never logged two straight down years in its 18-year history, but after falling 6.5% last year and roughly 18.5% so far this year, that record is gone.

What bugs Schiff is the timing. The last two years handed Bitcoin its best setup yet, he says — a Bitcoin-friendly president, a strategic reserve, and a Trump administration that steered the family business toward crypto. Prices fell anyway. You got to ask yourself, why did it go down? Who was selling into all that good news? he said, calling today's buyers the bag holder once the hype drains out.

He also argues Bitcoin simply lacks what backs gold or the S&P 500: no income, no dividends, no rent. And most of the supply now sits with ETFs and treasury companies like Strategy rather than long-term believers, he said, meaning the hot money that ran in since 2022 can run out just as fast. Markets had already baked in government buying and a possible national arms race to accumulate Bitcoin, speculation he ties to the run to $126,000 in 2024.

Looking ahead, Schiff expects Democrats to take the White House in 2028 and dump whatever Bitcoin is left in the government's strategic reserve. On the Fed, he isn't buying the inflation fight: a December rate hike is priced at 99% odds by CME FedWatch, but he says even a half-point move trails the current inflation pace, so real rates keep sliding. Money supply is still growing around 6% annualized, three times the Fed's 2% target — accommodative, not restrictive, in his view.

He chalked gold's pullback after this week's hot CPI reading up to traders misreading the data, sticking with his view that rising inflation is bullish for the metal. And he waved off the market's reaction to Nvidia CEO Jensen Huang's resignation, saying the AI buildout is bigger than any one executive.