Reserve

Cryptocurrency

Bitcoin

Gold

<ul>
 <li>Due to the lower-than-expected US inflation rate, sentiments in the gold market turned bearish, and gold saw heavy selling pressure.</li>  
 <li>Bitcoin has appreciated similarly to other assets expected to produce yields on factors on which the Federal Reserve may cut interest rates.</li>  
 <li>Peter Schiff pointed out that the market reaction to CPI data is unfounded, mainly focusing on the divergence in gold and Bitcoin prices.</li> 
</ul>  
<p>There has been a significant drop in gold prices today as investors panicked with the latest reading on the US inflation rate, which was lower than expected. Historically, <a href="https://cryptonewsland.com/gold-set-to-rally-as-wall-street-and-main-street-eye-economic-slowdown/" target="_blank" rel="noopener noreferrer nofollow">gold</a> is perceived to be an inflation hedge during economic turmoil and typically gains value when inflation rates rise. However, the new CPI figures changed the outlook, and most people expect that the Federal Reserve may lower the interest rate lever. This change in outlook has made gold less attractive, and this has led to a steep sell-off.</p>  
<figure class="wp-block-image"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdCVfZn_L0Y-m0fUznPvjAlSor0SbAVKvHGCulbeTmPUhn32ZDA_a8yGWLMM4iw5kUthECfC94SxHXQNu252LHqPvFxLZoAhhw4ADl1ptZ9H6_dhYsX7I35YLYMLi9FQw9fEWvT2XE_DfaIIQUafjb9H1hk?key=KoHDznweESj__TrYfPynVw" alt="">
</figure>  
<p>Source;<a href="https://coinmarketcap.com/currencies/the-gold-token/" target="_blank" rel="noopener noreferrer nofollow">Coinmarketcap</a></p>  
<p>While gold, as a traditional haven, experienced the opposite reaction to the same inflation indicators, Bitcoin and other higher-risk assets went up. Cryptocurrency is usually viewed as an asset that floats in market sentiment with rising and falling tides.Thus, the highest gain is proportional to the bull run. The latest surge in Bitcoin is in line with investor optimism on instruments that have a positive outcome from future declines in interest rates.</p>  
<h2 class="wp-block-heading" id="h-peter-schiff-s-reaction-and-market-sentiment-nbsp">Peter Schiff’s Reaction and Market Sentiment&nbsp;</h2>  
<p>Gold advocate and an outspoken critic of Bitcoin,<a href="https://cryptonewsland.com/peter-schiff-labels-bitcoin-etf-investors-as-dumb-money/" target="_blank" rel="noopener noreferrer nofollow"> Peter Schiff,</a> complained about the market response to the CPI figure. He pointed out that investors were misguided by inflation statistics, which triggered an increase in gold sales. Schiff has continued arguing that gold is a better safeguard of value than bitcoin, which Schiff has continually referred to as a ‘bubble.’</p>  
<p>However, Schiff was somewhat pessimistic about the situation, though the market has treated the gold not as it used to. He noted that Bitcoin went up while gold went down, further supporting his argument that Bitcoin is the “anti-gold” and not the “gold 2.</p>  
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  https://twitter.com/PeterSchiff/status/1824082144873861462
 </div>
</figure>  
<p>The fluctuations of the gold and cryptocurrency prices shows how investor sentiment is changing currently. As a result, traders and investors seek out securities that can benefit from a possible reversal of the monetary policy trend. However, the premise of gold as a haven is disappearing as its price drops due to changing economic factors.Considering Schiff’s criticism, it is possible to address the traditional versus new-age asset discussions in the context of the shifting financial world.</p> 
<p>The post <a href="https://cryptonewsland.com/peter-schiff-criticizes-market-reaction-as-bitcoin-soars-amid-golds-decline/" rel="noopener noreferrer nofollow">Peter Schiff Criticizes Market Reaction as Bitcoin Soars Amid Gold’s Decline</a> appeared first on <a href="https://cryptonewsland.com" rel="noopener noreferrer nofollow">Crypto News Land</a>.</p>

Peter Schiff Criticizes Market Reaction as Bitcoin Soars Amid Gold’s Decline

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