Peter Schiff Renounces Bitcoin Reserve Support, Calls It a Fraudulent Tactic

• Peter Schiff has denied supporting a Bitcoin reserve, alleging that his words were misrepresented by crypto advocates to inflate market perception.
• Donald Trump’s crypto reserve plan, including BTC, XRP, SOL, and ADA, triggered a market surge, pushing the total cap to $3.03 trillion.
• Despite Schiff’s accusations, Bitcoin remains bullish, benefiting from growing institutional interest and Trump’s policy-driven momentum in the sector.

Renowned economist Peter Schiff has withdrawn his endorsement of a strategic Bitcoin reserve, stirring controversy in financial circles. Schiff, who had earlier expressed understanding of a Bitcoin reserve while opposing XRP as part of former President Donald Trump’s crypto strategy, now claims his stance was misrepresented.

Accusations of Market ManipulationIn a recent statement, Schiff criticized Bitcoin promoters, accusing them of fraud and intentional misinformation to inflate BTC’s market value. He labeled such actions as common manipulation tactics used to mislead investors. Schiff emphasized that his previous remarks were misconstrued, clarifying that he never supported a Bitcoin reserve in the first place.

Trump’s Crypto Reserve Plan Triggers Market Reaction

Donald Trump created a strategic US crypto reserve with an inclusion of Bitcoin and the tokens XRP, Solana, and Cardano. After Trump framed regulatory suppression as a Biden administration policy, he launched this initiative, which caused a substantial market boost.

The total market capitalization of cryptocurrencies increased by 6.47% until it reached $3.03 trillion. The price of Bitcoin increased to $94,810 after Trump made his announcement while Schiff added to the discussion. This action occurred when the Bitcoin price was maintained at roughly $85,000.

Peter Schiff previously posted on X, questioning the rationale behind including XRP in the reserve while acknowledging the logic behind a Bitcoin reserve. His words were quickly interpreted by BTC supporters as an endorsement of the asset’s strategic inclusion. Enthusiasts claimed Schiff recognized Bitcoin as digital gold, reinforcing its legitimacy as a financial asset.

Denial and Clarification

Schiff has changed his position regarding those statements by pointing out their misinterpretation by the public. Bitcoin advocates supposed a deliberate falsification to generate wrong perceptions about BTC’s institutional support base according to Schiff. Shiff’s recent statements have intensified discussions about cryptotrading methods used to manage market images.

Despite the controversy, Bitcoin remains at elevated levels, benefiting from Trump’s policy shift. Analysts suggest that the strategic reserve announcement has strengthened investor confidence in digital assets, regardless of Schiff’s retraction. Market sentiment continues to lean bullish amid growing institutional interest.