Bitcoin Crash: Peter Schiff Predicts A Drop To $20K for BTC Prices Amid Gold’s Bullish Rise.

With the year advancing, Peter Schiff stands out as Bitcoin’s most prominent detractor who makes an audacious market prediction which has fascinated cryptocurrency enthusiasts and investors. Bitcoin (BTC), according to Schiff, will experience a major price collapse down to $20,000 or a level below that if the Nasdaq and broader stock market enter a bear market phase. Legal expert Peter Schiff has predicted that gold prices will reach $3,800 throughout the year because investors are moving away from Bitcoin and similar riskier assets. 

Bitcoin Crash: Will the $20K Drop Become a Reality?

The year 2025 has debuted with severe volatility in Bitcoin that tracks the direction of U.S. stock index performance. The Nasdaq Composite index has suffered more than an 8.21% decline, whereas the Nasdaq 100 index shows about a 6.16% drop in value. Bitcoin has experienced a price reduction of approximately 11.25% throughout this specific timeframe. Bitcoin experienced a 0.5% decrease in market value the previous day, while its value was reduced by 14.3% in the last month.

According to Schiff, Bitcoin seems poised to experience more severe drops as he maintains an unfavorable stance on Bitcoin. The market expert believes Bitcoin prices will sink to $20,000 should the stock market difficulties intensify. According to Schiff, the previous U.S. stock market crashes serve as warnings since the Nasdaq suffered a 55% drop in 2008 and an 80% plunge during the 2000 dot-com bubble crisis. Schiff demonstrates that Bitcoin displays the same risk factor for drastic market declines as the stock market.

Gold Vs Bitcoin

Bitcoin maintains a challenged position against gold, demonstrating its rising market strength. The starting price of gold per ounce in 2025 was $2,623.95. The value of Gold has increased by 15.1% since its initial observation. The notable expert Schiff supports gold investing, and he notes that the stock market tends to move against gold prices more visibly. According to Schiff, investors are predicted to choose gold as their safe-haven asset because he claims it will gain more value.

Gold is climbing higher into record territory, trading at $3,025. Silver is even stronger trading at $34.10. U.S. stocks are lower as foreign stocks are higher. Ironically, the real Trump trades are selling U.S. stocks to buy foreign stocks, and selling Bitcoin to buy gold.

— Peter Schiff (@PeterSchiff) March 18, 2025

The ongoing deterioration of the U.S. stock market has prompted Schiff to expect that gold prices will surpass $3,800 per ounce. Investors seeking safety amid uncertainty about Gold vs Bitcoin will choose gold over other assets like Bitcoin, making it their preferred option. According to Schiff, the value of Bitcoin as a store of value will decline when gold prices keep increasing. Still, Bitcoin experiences declines because of this failure to establish its status as a reliable inflation shield.

Will Institutional Investors Abandon BTC?

Schiff believes institutional investors and retail participants will walk away from Bitcoin as they choose gold Vs Bitcoin as a primary investment solution. According to Schiff, Bitcoin will lose its status as a store of value because government agencies, ETFs, and corporate investors, including MicroStrategy, will leave the Bitcoin market. Price volatility and fluctuation in Bitcoin values make investors doubt its value as an asset that would withstand market instability.

Schiff evaluates Bitcoin negatively even after its recent success. He predicts Bitcoin’s 121.28% market value elevation in 2024 will not persist since it outperformed gold’s 27.21% increase. According to Schiff, the market deterioration will diminish Bitcoin demand, but gold prices will keep increasing. The Bitcoin market has previously overcome negative expectations, yet Peter Schiff maintains his negative view of Bitcoin’s outlook during a growing gold market.