Peter Schiff forecasts Bitcoin price to reach $50,000 as demand for ETFs declines.

In the beginning of 2026, Bitcoin critic Peter Schiff made a prediction that the cryptocurrency would face a decline after its underperformance in 2025. Despite the widespread positive outlook on Bitcoin, Schiff suggested that the lack of a rally in the face of optimistic catalysts indicated a potential weakness in its future prospects.

During a Jan. 1 video presentation, Schiff analyzed the market performance in 2025, highlighting how Bitcoin failed to rise while traditional assets saw significant gains. Major indexes such as the Dow, S&P 500, and Nasdaq all posted positive returns, with gold and silver also experiencing substantial growth. Schiff noted that Bitcoin was one of the few assets that ended the year in the negative.

One particular concern for Schiff was the performance of Bitcoin ETFs, which closed the year down by over 7.5%. This contrasted sharply with the gains seen in the Nasdaq and gold markets. Additionally, Schiff pointed out that Strategy, a leveraged Bitcoin trading vehicle, ended 2025 with significant losses, further emphasizing the challenges facing the cryptocurrency.

Schiff’s analysis focused on the concept of exhausted demand in the Bitcoin market. He explained that the lack of a price increase despite optimistic narratives suggested that the market may be overdue for a downward trend. Schiff highlighted Strategy’s average Bitcoin cost basis over five years, illustrating that the gains achieved by Bitcoin at around $87,000 were relatively modest. This, in turn, raised questions about the sustainability of consistent returns in the cryptocurrency market.

Looking ahead to 2026, Schiff painted a cautious picture, anticipating weaker economic growth, rising inflation, and increased political pressure on monetary policy. These conditions, he suggested, would likely benefit precious metals like gold and silver while putting pressure on Bitcoin. Schiff advised viewers to sell their Bitcoin holdings above $87,000, predicting a shift in capital towards traditional assets.

In conclusion, Schiff’s analysis of Bitcoin’s performance in 2025 and forecast for 2026 highlighted concerns about the sustainability of the cryptocurrency’s growth. Despite optimistic narratives surrounding Bitcoin, Schiff’s findings suggested a potential downturn in the cryptocurrency’s future.