- Peter Schiff highlights the differing performance of Bitcoin and gold after the US CPI.
- While gold surged by 1.5%, Bitcoin remained relatively flat as the CPI rose 0.1%.
- Schiff says that BTC is now acting exactly opposite to the precious metal.
Gold and Bitcoin reacted differently to the US CPI report, which rose by 0.1% in July. This indicates investors continue to treat both assets unequally, despite their shared identity as alternatives to traditional assets.
Following the US CPI report, gold surged by about 1.5% while Bitcoin remained relatively flat. The contrasting approach of investors highlights that they still see gold as a safe haven, and Bitcoin as a risk asset.
Why Gold Outperformed Bitcoin After the CPI Report?
Earlier today, Bitcoin critic Peter Schiff shared an X post, reiterating that gold and Bitcoin are “very different asset classes.” To further strengthen his points, he highlighted that both assets responded differently to the recent US CPI data. While gold surged, BTC remained comparatively neutral.
The Bureau of Labor Statistics released the US CPI report today, unveiling a 0.1% increase in the consumer price index in July. The core CPI also jumped by about 0.2%. As per the report, inflation stood at 3.4%, while core inflation is marked at 2.5%.
Amid this report, Peter Schiff’s attention was caught by the differing performances of gold and crypto. He asserts that this contrast highlights the reputation of the yellow metal as a safe haven asset and a hedge against inflation and economic uncertainty. Bitcoin, on the other hand, remains more sensitive to liquidity conditions, risk appetite, and crypto-specific market flows.
As of press time, BTC is valued at $63,507, down 0.6% in a day. Despite a 1% monthly surge, the coin has seen a nearly 2% drop over the past seven days. Meanwhile, gold is trading at $4,421, marking a nearly 1% daily uptick. Over the past month, it surged by about 7%.
In addition, the performance also highlights a softer inflation outlook’s lesser influence on the BTC price. Although crypto experts claim that lower inflation supports Fed rate cut expectations, which potentially lead to increased demand for Bitcoin, Peter Schiff believes that gold remains the stronger choice for investors.
Peter Schiff Calls Bitcoin “Anti-Gold”
Notably, Peter Schiff’s latest comments on gold and Bitcoin came following his previous description of BTC as “anti-gold.” In a previous post, Schiff noted that BTC is now acting more like the opposite of gold. The post read,
“Bitcoin is finally the uncorrelated asset you’ve hoped it would be. Even when risk-on & risk-off assets rise, Bitcoin falls.”
Further, he elaborated on the recent performance of gold, silver, and BTC. He stated that amid rising geopolitical tensions and inflation fears, gold and silver sustained their momentum, while BTC struggled. Over the past year, gold has exhibited an impressive performance, marking a more than 30% surge. At the same time, Bitcoin continues to trade in the negative zone, falling by more than 50% from its all-time high of $126k.
Related: India’s 4.45% Inflation Puts RBI Policy in Focus: Is Rupee at Risk?
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