Bitcoin Critic Peter Schiff: Latest Pump & Dump Means "Game Over"

Francisco Memoria

Peter Schiff, a popular gold bug well-known for being bearish on bitcoin and cryptocurrencies, recently said that bitcoin’s recent pump and dump could mean the ‘game is over’ for it.

On the microblogging platform Twitter, Schiff noted that he believes “bitcoin pump & dumpers are losing their mojo” as a failed price pump failed to maintain its momentum and ended up being met with a drop shortly after.

Yesterday BTC seemed to finally shake off its three-day slump as it surged from around $7,230 to $7,620 in 20 minutes, but the pump didn’t last long as shortly after the flagship cryptocurrency’s price dropped to about $7,170 before starting to recover. At press time, bitcoin is trading at $7,340 after falling 1.5% in the last 24-hour period.

Lee’s tweet was met with resistance from the cryptocurrency community. Some tried to make little of Schiff’s comments but most pointed out that short-term price movements are decided by traders, while long-term price movements are related to fundamentals. Bitcoin, over the last few years, has grown exponentially, despite the 2017 and 2018 boom and bust cycle.

It’s worth pointing out Peter Schiff has last month predicted bitcoin’s price will reach $1,000 after a massive sell-off, basing his prediction on technical analysis he conducted. Per his words, BTC will fall “much lower” than $1,000 per coin, although it could see a significant bounce from said level.

Schiff has even called out Bobby Lee, who founded the BTCC exchange and crypto wallet Ballet, for prediction the flagship cryptocurrency’s price could be $1 million within the next five to 10 years. Per Schiff, it’s “nonsense like this that is actually taken seriously, that keeps the hodlers on board while the whales quietly abandon ship.”

Featured image via Pixabay.

Weekly Newsletter

Two Brazilian Crypto Exchanges Close Following Change in Tax Laws

  • Two Brazilian exchanges have been forced to close in the face of strict new regulations.
  • Exchanges are required to keep track of all transactions made with cryptocurrency or pay fines. 

Two Brazilian cryptocurrency exchanges have been forced to shut down following the enactment of new tax laws. 

Following reports of rampant cryptocurrency-related fraud in 2019, Brazilian politicians have created and enforced new tax regulations for the industry of cryptocurrency. 

According to a report by Bitcoin.com, exchanges Acesso and Latoex are two of the first casualties of the increased regulation. Both exchanges have decided to end operation, rather than pay the hefty fines and comply with strict regulation in the face of shrinking trading volume. 

Pedro Nunes, co-founder of Acesso Bitcoin, told Portal do Bitcoin, 

After the Federal Revenue Service introduced these rules we noticed a significant decrease in the traded volume. We also feel that the market has cooled off for smaller exchanges.

The new regulations, implemented in August 2019, require traders and brokerages to report all transactions involving cryptocurrencies. Failure to comply results in penalties ranging from 500 BRD to 1500 BRD ($120 - $360). 

Exchanges say that compliance with the new regulation requires expensive investment into new resources, which has been untenable for smaller and less profitable organizations.

Featured Image Credit: Photo via Pixabay.com