Key Highlights
- Peter Schiff predicts USDT could outgrow Bitcoin and Ethereum as stablecoin adoption keeps rising across crypto markets.
- Schiff remains bearish, warning Bitcoin could still fall sharply while pointing to weakness across ETH and SOL charts.
- Despite past misses, Schiff links current crypto selloff and heavy liquidations to deeper market pressure and investor exit.
Bitcoin critic and prominent gold investor Peter Schiff has stirred fresh discussion in the cryptocurrency market after predicting that Tether’s USDT could one day become more valuable than Ethereum and even Bitcoin. Schiff shared the view on X as major cryptocurrencies struggled to recover from recent price declines.
According to Schiff, the growing use of stablecoins could continue driving Tether’s market value higher over time. His comments come as investors closely watch the role of stablecoins in digital asset markets, particularly during periods of price uncertainty.
The remarks followed a sharp selloff across the crypto market. Bitcoin recently fell below $63,000 before recovering some of its losses, while Ethereum recorded steeper declines. Against that backdrop, Schiff repeated his long-standing skepticism toward major cryptocurrencies and pointed to the steady growth of stablecoins as a trend he believes could continue.
Schiff highlights stablecoins as structural winners
In a sequence of social media posts that immediately caught the attention of the trading community, Schiff noted that market demand for stable digital dollars outpaces the speculative appetite for native crypto assets.
Amidst the comments, the underlying data explains why the asset remains so resilient. As its use has expanded, Tether’s market value has continued to grow. Data from DeFiLlama shows Tether’s market capitalization stands at about $187.8 billion.
Schiff also pointed to Bitcoin’s recent price action. He noted that buyers stepped in when Bitcoin approached the $61,000 level, helping the cryptocurrency hold above a key support area despite broader market weakness.
“Bitcoin found some short-term support around $61,000. That’s slightly above the February low of just under $60,000. It makes sense that there would be some initial support there. So far it’s bounced over $2,000 off that low. Let’s see how long it lasts.”
The bear case and historical rallies
Peter Schiff also offered a bearish view of the wider crypto market, saying the weakness is not limited to Bitcoin. He pointed to charts for major assets, arguing that Ethereum looks weaker than Bitcoin, while Solana appears weaker still. In his view, the overall market structure suggests continued pressure, although he noted that recent selling has remained controlled, without signs of widespread panic. He added that this type of gradual decline can sometimes shift into more abrupt selling.
Schiff also repeated a long-standing prediction that Bitcoin could eventually drop below $20,000. That would amount to a steep fall of roughly 80% from its October 2025 peak near $126,200.
His outlook, however, remains contested. Critics note that several of his past warnings did not play out as expected. For example, in July 2025 he advised selling Bitcoin when it was around $118,000, shortly before the price moved higher and later set a new record above $123,000.
Sell-off deepens across the market
The latest market downturn gave added weight to Schiff’s long-running bearish argument. Bitcoin slipped by more than $2,000 in under an hour and briefly fell to around $61,460. The move came as selling pressure spread across the market, triggering more than $1.1 billion in leveraged liquidations.
At the same time, analysts pointed to a notable change in investor behavior. Compass Point’s Ed Engel reported that long-term holders — those who have kept Bitcoin for at least 155 days — sold about $2.4 billion worth of the asset over a two-day period. The data suggests that even investors typically seen as steady have started taking profits or reducing exposure during the latest drop.
Engel also noted that 26% of Bitcoin sold during the past month came from buyers above $90,000. “This cohort of top-buyers had been resilient throughout the bear market; however, they’re finally capitulating as BTC approaches new cycle lows,” he said.
Also Read: Bitcoin Rally Collapses as ETF Outflows and Selling Pressure Mount: Glassnode
