The cryptocurrency market saw a sharp recovery as Bitcoin’s price rebounded from a recent dip near $62,000 to approximately $68,197. Prominent critic Peter Schiff took to social media to label Bitcoin a “Ponzi” and suggested its strength is politically driven. The asset’s price increase appears to be linked to a short squeeze, where liquidations forced many traders to close positions, rather than a reaction to political commentary.
Bitcoin’s price climbed nearly 4.75% to around $68,197 after falling close to $62,000 in recent days. During this decline, economist Peter Schiff reiterated his criticism of the digital asset on social media.
Schiff noted, “Imagine what would happen to Bitcoin if Trump posted the following…Bitcoin is a Ponzi.” He has frequently linked Bitcoin’s volatility to political support. His latest comments suggest the asset is surviving due to government backing.
Market data, however, indicates the rally was likely technical. When Schiff’s comments circulated, Bitcoin traded around $64,236 before moving sharply higher. A significant amount of liquidations occurred as short sellers were forced to close positions.
This scenario, known as a short squeeze, can rapidly push prices upward. The community responded to Schiff’s views on social media. One user argued, “If one person’s post can kill it, it was never Bitcoin.”
Others, however, supported Schiff’s long-standing bearish narrative. Another user pointed out, “Schiff’s been predicting bitcoin’s collapse since $200.” Schiff recently contended that selling gold for Bitcoin was a “huge mistake.”
He argues Bitcoin’s all-time high near $124,500 was a political bubble. For now, the market appears focused on Bitcoin’s recovery from key support levels.
