Schiff Criticizes Trump’s Bitcoin Reserve Move Amid 12% Loss
Highlights:
- Peter Schiff has criticized Trump’s Bitcoin reserve, citing the token’s 12% decline.
- The Bitcoin critic said the US would have sold the reserve and used the proceeds for gold investments.
- Many X users faulted Schiff’s claims, saying he focused on short-term price actions.
Renowned Bitcoin (BTC) critic Peter Schiff has slammed Donald Trump’s Bitcoin reserve plans. In an April 7 tweet, Schiff spotlighted Bitcoin’s recent price struggles and how it has negatively impacted the United States Bitcoin reserve. Schiff noted that since the Bitcoin reserve establishment, the asset has plunged by about 12%.
In the X post, Schiff stated that if the US had sold the Bitcoin in its reserve and invested the proceeds in gold, it would have amounted to gains of about 2%. As expected, Schiff’s tweet attracted significant attention. Many X users faulted the Bitcoin critic for criticizing Bitcoin.
A month ago on Mar. 6th, Trump established the Strategic Bitcoin Reserve. So far, the value of the Bitcoin held in that reserve has declined by over 12%. Had the U.S. sold it and added to our gold reserve, not only would we have avoided that loss, but we would now have a 2% gain.
— Peter Schiff (@PeterSchiff) April 7, 2025
Quinten Francois, co-founder at weRate, slammed Schiff for criticizing BTC based on a short timeframe. He stated, “Picking micro timeframes is the only thing you can do to ‘prove’ your case. In any larger timeframe, it’s invalid.”
Another X user faulted Schiff’s claims by reminding him of the trillion dollars the US lost dumping Bitcoin years ago. Schiff responded to the comment, citing it was irrelevant since the US had no strategic Bitcoin reserve then. “We can only count how much money the government gains or loses going forward of the reserve,” he added.
That's irrelevent, as we didn't have a Strategic Bitcoin Reserve years ago. We can only count how much money the government gains or loses going forward of the reserve.
— Peter Schiff (@PeterSchiff) April 7, 2025
Bitcoin Faces Increasing Downward Pressure from Trump’s Tariffs
Bitcoin’s recent price struggles have emerged as a significant concern among investors, as Trump’s tariffs announcement has worsened the token’s price performance. At the time of writing, Bitcoin is down 2.6% in the past 24 hours, trading at about $76,900.
Bitcoin has dropped 9.5% in the past week, fluctuating between $74,773.26 and $87,106.01. This price range highlights Bitcoin’s struggle in recent weeks. Aside from its weekly price drop, BTC’s other extended period variables reflected declines. For context, BTC depreciated 12.3% 14-day-to-date and 6.7% month-to-date.
Despite reaching over $3.5 trillion in January, Bitcoin’s market capitalization has dropped to about $1.528 trillion. Similarly, BTC’s 24-hour trading volume fell by 52.01% to approximately $48.47 billion.
Bitcoin Appears to Have Ended its Bull Cycle
In an April 5 tweet, Ki Young Ju, founder and Chief Executive Officer (CEO) at CryptoQuant, stated that Bitcoin’s current price performances are possible indications that the token’s bull cycle has neared its end. In his analysis, he noted that crypto market capital inflows no longer impact crypto price actions.
The CryptoQuant founder’s analysis was based on the Realized Cap metric, signaling the beginning of a bearish trend. Ju mentioned that Bitcoin’s price appears stagnant because its selling pressure is very high. Hence, large purchases will not move the token’s price.
Ali Martinez, a renowned market chartist, shared a Bitcoin price analysis in one of his tweets on April 7. In the X post, the crypto market chartist noted that Bitcoin must reclaim $80,000 too soon to validate a possible rally to $91,000. He added that if this condition fails to hold, BTC could experience further declines.
If this is truly a channel, #Bitcoin $BTC must reclaim $80,000 soon to validate a potential relief rally to $91,000. Otherwise, we may be looking at a breakdown. pic.twitter.com/Y9m6RdHxFh
— Ali (@ali_charts) April 8, 2025
In a separate tweet, the market expert noted that despite BTC’s price declines, whales’ interest in the token has remained strong. According to Martinez, 1,715 whale transactions worth over $1 million hit Bitcoin’s network on April 7. He added that the spiked whale transactions surged BTC’s price from $74,500 to $81,200.
1,715 whale transactions of over $1 million hit the network yesterday right as #Bitcoin $BTC surged from $74,500 to $81,200, as shown by on-chain data from @santimentfeed! pic.twitter.com/IEboSEhEKg
— Ali (@ali_charts) April 8, 2025
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Chinedu Agbakwusi
Chinedu Agbakwusi is a news writer and editor for Crypto2Community. He is a crypto enthusiast with vast experience across several crypto-related projects and platforms. Chinedu has been following the development of the crypto market for several years, and he is optimistic about its potential to democratise the global financial system. He hopes to be a reliable plug for reporting trends and breaking down complex concepts to his readers. Agbakwusi's previously written for several crypto news including Times Tabloid, UPay, while also contributing over the years to many others leading media publications.
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