Bitcoin loses 32% against gold, Schiff predicts a collapse

Peter Schiff never misses an opportunity to point out what he considers a digital illusion: bitcoin. And during this period when gold is reaching new heights, the economist has brought out the heavy artillery. For him, the 32% drop of BTC against gold since August is a sign of an imminent crash. But his speech, although enthusiastic for yellow metal fans, is not without contestation in the crypto sphere.

When Peter Schiff Rejoices: Gold Shines, Bitcoin Wobbles

On October 16, Peter Schiff triumphantly tweeted: “Gold is eating Bitcoin’s lunch. Bitcoin has fallen 32% against gold since its August peak. This Bitcoin bear market will be brutal. HODLers, sell your fake gold now and buy the real thing, or have fun going bankrupt.”

Meanwhile, gold hit a new high at $4,318 an ounce, supported by Sino-American tensions, Fed rate cut forecasts, and demand from central banks.

For Schiff, there is no doubt: 

It’s not just a de-dollarization movement, but also a de-bitcoinization. Bitcoin failed the test as a viable alternative to the US dollar or digital gold. HODLers are in denial, and their refusal to accept reality will cost them dearly.

According to him, hodlers live in denial. Yet this time, the numbers support him. Gold has surged over 64% since January, while bitcoin has only gained 16% over the same period.

Safe Haven War: Gold Explodes, Bitcoin Resists

But Schiff does not only have supporters. Under his posts, counterarguments abound. One notable one is from @BTCPeakHub, who recalls that despite volatility, bitcoin reached $126,198 in early October. “It’s not a “failure”. It’s just Bitcoin being Bitcoin.“

Others also recall historical performance. Alex Stanczyk notes, for example, that he bought gold at $650 in 2007, allowing him a 521% gain. But he highlights that an equivalent investment in bitcoin over the same period would have generated a return of 174 million percent. Even over the last five years, the gain still reaches 1,003%. He refers to an article in which he defends complementarity between the two assets.

Deep down, this is where the real debate lies. Gold remains the ultimate safe-haven asset, driven by market fear and low rate policies. But bitcoin, as an emerging asset, attracts a new generation of investors. It also remains the heart of blockchain innovation.

Schiff’s dislike for bitcoin is therefore double-edged. Because every time he predicts its fall, a spectacular rebound seems to prove him wrong… Until proven otherwise.

Massive Gold vs Volatile Bitcoin: 5 Facts Changing the Game

One of the hottest debates is about overall valuation. Gold and bitcoin don’t play in the same field.

Here are some key numbers to remember:

• Gold reached a historic market cap of $30 trillion, 14.5 times that of bitcoin;
• In just one week, gold added $300 billion to its capitalization, equivalent to BTC’s market cap;
• The bitcoin price fell 32% against gold since the August 2025 peak;
• Yet, the number of addresses holding BTC increased, rising from 6.99 to 7.07 million in a few days;
• Institutions like BlackRock and US Bancorp continue investing in crypto infrastructure.

In response, some analysts claim gold could soon reach $5,000 if geopolitical tensions persist. But they do not rule out a capital rotation towards bitcoin if yellow metal weakens.

So, should one bet everything on gold? Or be patient with bitcoin?

Peter Schiff might be right in the short term, but many believe he is wrong once again. The new gold peak could well, according to some analysts, announce bitcoin’s next big surge. Between current reality and future potential, the match between the two assets is just beginning.