On Monday, economist Peter Schiff questioned the U.S. government’s decision to hold Bitcoin (CRYPTO: BTC) as a reserve asset amid the apex cryptocurrency’s ongoing slump.
What Happened: Schiff took to X to point out that Bitcoin’s market value has plunged 30% from its January record high, dropping below $77,000.
“It’s hard to see the rationale for the U.S. government holding Bitcoin as a reserve asset when it can lose that much market value so quickly, ” Schiff remarked. “The rationale will be even harder to see when it’s down 50%.”
The backers of Bitcoin’s safe haven narrative swung into action, with award-winning investment manager Michael A. Gayed writing “Store of value” in response to Schiff’s post.
Over the past five years, Bitcoin has gained 1,408%, and 243% in the last two years.
However, Schiff was quick to clap back. “If the price can drop over 30% in less than two months without anything really happening, how can that be …
Full story available on Benzinga.com