As geopolitical tensions escalate — particularly the ongoing conflict between Israel and Iran — gold advocate Peter Schiff has once again questioned Bitcoin’s reliability as a safe-haven asset. His criticism comes at a time when gold has reached near-record highs, while Bitcoin struggles to hold its ground.
Gold Surges, Bitcoin Wavers
According to Schiff, recent market behavior has reinforced the idea that gold remains the more stable hedge in times of crisis. Gold futures have climbed just below all-time highs, and mining stocks — represented by the $GDX index — have reached their highest point since September 2012. Schiff attributes this rally to central banks increasing their gold reserves while moving away from U.S. Treasury bonds.
“Gold is near a new all-time high, but $GDX is already at its highest level since 2012,” Schiff tweeted, implying that gold’s bull market is accelerating faster than many expected.
Bitcoin’s Performance Fails to Impress
In contrast, Bitcoin has struggled to deliver a consistent upward trend during the same period. As equity markets declined, BTC also dipped — a move that Schiff highlighted to question Bitcoin’s claim as a “digital gold.”
“Why is Bitcoin selling off with stocks while gold is rising?” Schiff asked on X, pointing to Bitcoin’s volatility and its failure to decouple from risk assets during market stress.
Volatility Undermines Bitcoin’s Hedge Narrative
Bitcoin advocates have long promoted it as a digital store of value, especially in the face of rising inflation and currency devaluation. Yet, its recent price decline contradicts that narrative, making it harder to argue its effectiveness during global instability.
While some investors continue to see potential in Bitcoin’s fixed supply and decentralization, Schiff — and other critics — argue that its price instability undermines its role as a hedge. Gold, on the other hand, has continued to attract capital amid fears of inflation and escalating geopolitical risk.
Schiff Reaffirms Gold’s Dominance as a Safe-Haven
For Schiff, the current global climate has only strengthened his belief in gold as the ultimate safe-haven. He emphasized that gold’s recent rally is not just a reaction to geopolitical risk, but also to growing concerns about inflation and broader economic instability.
Diverging Views in the Investment Community
Despite Schiff’s skepticism, a segment of the crypto community continues to defend Bitcoin’s value proposition. Supporters argue that Bitcoin’s decentralized structure and scarcity offer a unique hedge against fiat currency depreciation — especially as central banks continue aggressive monetary policies.
However, Schiff and many traditional investors remain unconvinced, highlighting the unpredictable and risk-correlated behavior of BTC in recent weeks.
#IsraelIranConflict #BTC110KSoon?
Conclusion:
The latest developments highlight a growing divide between gold maximalists and Bitcoin proponents. As tensions in the Middle East intensify and inflation fears resurface, the investment world continues to debate which asset — if any — can truly be called a modern safe haven. Schiff’s critique underscores a broader challenge for Bitcoin: proving its resilience not just in theory, but in real-world moments of crisis.
