Bitcoin soars to $82,000, doubling its value from earlier lows this year.
Peter Schiff cites a Trump-driven mania, not fundamentals, for Bitcoin's rally.
U.S. dollar strengthens and gold prices drop as Bitcoin hits a new all-time high.
Bitcoin, the leading digital currency by market cap, recently hit a historically significant figure of $82,000. This surge has sparked various responses across the financial spectrum, with notable criticism from long-time Bitcoin skeptic Peter Schiff. According to Schiff, this is another increase that does not correspond to Bitcoin's real value in the market.
Peter Schiff Questions Bitcoin's Rally
Several noteworthy experts, including Peter Schiff, who is related to traditional finance, have pointed out that Bitcoin has recently skyrocketed. Still, this increase may reflect something other than the actual economic indicators. Schiff also noted that the U.S. dollar is currently strengthening, and global gold prices are falling, which traditionally could lead to a decline in demand for alternative assets such as Bitcoin.
https://twitter.com/PeterSchiff/status/1855941458848514188
He claimed that the movement in Bitcoin price was caused by news sentiment associated with the win of Donald Trump in the US presidential election, who supported cryptocurrencies highlighting the price surge was not based on the crypto asset's economic fundamentals.
As Schiff noted, expectations of economic prosperity and reduced levels of the debt-to-GDP ratio in the United States can also reduce the necessity of various assets impacting the price of Bitcoin. Schiff’s outlook underscores the variation in market outlooks on Bitcoin, as some view it as an inflation hedge and a decentralized store of value and skeptics. At the same time, critics remain skeptical of its long-term relevance.
Market sentiment strengthens.
The recent price movement in Bitcoin also correlates with one of the most important weeks in the financial markets. The Federal Reserve decided to reduce interest rates by 25 basis points, a policy change considered beneficial for risky global assets such as cryptocurrencies.
This historic price milestone of $82,368 is notable for its timing and scale, doubling Bitcoin’s earlier low this year. The rise in Bitcoin’s value has also been mirrored across the crypto sector, with increased trading volumes and a wave of liquidations. According to CoinGlass, cryptocurrency liquidations in the last 24 hours totaled $620 million, reflecting heightened market activity. Investors seem optimistic about Bitcoin's future, with futures premiums rising and open interest in Bitcoin price options nearing $90,000 on the Deribit exchange.
The post Bitcoin Surges Above $82K Peter Schiff Attributes Rise to Trump-Inspired Mania appeared first on Crypto News Land.
