© Reuters
Investing.com – In an interview with TD Ameritrade Network on Thursday, famed investor Peter Schiff, one of the most outspoken critics of the market, urged investors to dump their cryptocurrencies and use the cash to buy physical gold .
“My advice to people in cryptocurrencies is to get out. You could still get close to $17,000 for your worthless Bitcoin. I suggest you sell it and buy some,” he said.
According to him, bitcoin is not a viable investment option for those looking for a long-term store of value or a hedge against inflation, noting that BTC “has lost two-thirds of its market price “.
Schiff believes that gold offers much better protection against economic downturns because it retains its intrinsic value even when markets crash.
It should also be noted that the behavior of gold in the face of economic crises is historically consistent, while the current crisis is the first that cryptos are going through.
“If you’re really looking for an alternative to the US dollar for storing value, hedging inflation, gold will meet those requirements,” Schiff said, adding that bitcoin meets “no requirements.”
Microstrategy investors are suckers according to Schiff
The investor also spoke on Twitter (NYSE:) about Bitcoin and MicroStrategy Incorporated (NASDAQ:) yesterday, pointing out that “#MicroStrategy shares just hit a new 52-week low, down 90% compared to the record of February 2021”.
He also blamed Microstrategy boss Michael Saylor, who made the purchase of Bitcoin the main activity of his company, basically a software company.
“Shareholders will pay dearly for @saylor’s obsession with #Bitcoin. Don’t make the mistake of thinking a 90% off is a good buy. It’s not just a sale, it’s a business closing sale,” he said.
In another tweet, Schiff added that “the addition of #Bitcoin to the balance sheet was great for #MicroStrategy shareholders who sold their shares in the ensuing pigeon rally,” with the downside “a disaster for those idiots who bought shares of $MSTR to gain exposure to Bitcoin”.
Finally, note that Bitcoin is trading at $16,595 at the time of writing this article at 5:35 a.m. CET on Friday, stable over 24 hours and down just over 1% over one week.