One of the biggest critics of the cryptocurrency industry – Peter Schiff – expected bitcoin’s spike at the start of the year to cease shortly after it began and advised investors to sell their holdings when the asset was trading at around $18,000. The uptrend, though, continued, and BTC currently stands at $22,800 – a 27% increase since the American financial commentator shared his views.
Another famous person whose grim prediction has failed as of the moment is Jim Cramer. He urged people to cash out their “awful” crypto positions at the beginning of December last year, while bitcoin is up 33% since that statement.
Schiff’s Forecast: a Catalyst for BTC’s Rise?
The CEO of Euro Pacific Capital – Peter Schiff – is among the most vocal opponents of the cryptocurrency sector and often cautions investors to stay away from it. He opined on January 12 that bitcoin’s surge to above $18,000 (at that time) was an “excellent opportunity” for HODLers to sell their ownings. As usual, Schiff claimed investing in gold is a much better option.
#Bitcoin is trading above $18K, its highest level in 3 weeks, an excellent opportunity for #HOLDers to sell ahead of the release of the Dec. #CPI. #Gold is only up $10, trading at an 8-month high. While Bitcoin has already broken down, gold has broken out. Time to drop Bitcoin.
— Peter Schiff (@PeterSchiff) January 12, 2023
Luckily for those who did not part with their holdings, bitcoin’s run continued in the following days, hitting a 5-month high of nearly $23,300 (according to CoinGecko’s data) on January 21. This represented an almost 30% price increase compared to the day when Schiff shared his view. Currently, BTC is worth approximately $22,800, or a 27% spike.
The American, known as a huge proponent of gold, expected to see a significant price expansion for the precious metal. Nonetheless, it has risen by a mere 1.3% over the past ten days.
The Cramer Effect
Jim Cramer – the host of CNBC’s Mad Money show – has jumped from a huge supporter of the industry to an outspoken critic over the past several years. He is also often mocked by the crypto community since many of his predictions have been proven wrong.
The American advised investors to sell their bitcoin holdings in September 2021 when the Evergrande debt crisis in China seemed to play a major role in the asset’s future performance. Bitcoin reached an all-time high of nearly $70,000 two months later.
He argued in January last year that the BTC correction could be over, meaning people should reconsider jumping on the bandwagon. Contrary to that expectation, bitcoin lost over 60% of its valuation throughout 2022.
Cramer’s latest advice came on December 6 when he told investors they still have time to sell their “awful” positions. He specifically outlined Ripple (XRP), Dogecoin (DOGE), Cardano (ADA), and Polygon (MATIC) as the most speculative tokens that could crash to zero. All four still exist and, apart from DOGE, are in a much better condition since the beginning of last month.