A well -known American economist suggested a relationship between gold, Nasdaq and Bitcoin and said that a decline in Nasdaq usually leads to a decrease in Bitcoin.
Peter Schiff explained in a post the connection between the State of Bitcoin and Nasdaq’s market situation and added that there is a negative relationship between gold and Nasdaq.
Nasdaq-Bitcoin connection
Schiff, a well -known Bitcoin skeptic, told his followers at X that baisan of the financial market can affect the price movement for flagship scraps and say that if Nasdaq Going down, Bitcoin follows.
The economist said that Nasdaq is currently down by 12%and can affect Bitcoin. “If this correction turns out to be a bear market, and the correlation where a 12% decline in Nasdaq corresponds to a decrease of 24% in Bitcoin, when Nasdaq is down by 20%, Bitcoin will be about $ 65K,” he added.
Nasdaq is reduced by 12%. If this correction turns out to be a bear market, and the correlation where a 12% decline in Nasdaq corresponds to a decrease of 24% in Bitcoin, when Nasdaq is down by 20%, Bitcoin will be about $ 65,000.
But if Nasdaq goes into a bear market, history …
– Peter Schiff (@Peterschiff) March 16, 2025
Schiff, however, claimed that when Nasdaq entered a bear market, the decline would be much larger and quoted what happened earlier.
He explained that after the explosion of the Dot-Com bubble, Nasdaq fell by almost 80%, while during the global financial crisis in 2008, it dropped by 55%, and recently, during pandemic crash in 2020, Nasdaq went down by about 30%.
“The average of these three bear markets is a decline of 55%.
Yellow metal continues to shine
Schiff may have a baissey view of bitcoin but offered a more optimistic view of gold and says that there is a negative relationship between Nasdaq and gold.
He said that since Nasdaq topped December 16, 2023, gold has increased by 13%, which is an almost perfect 1-to-1 correlation.
“If that correlation also holds, a decline of 40% in Nasdaq would put gold over $ 3,800, but my guess is that if a bear market in equities coincides with a significant decline in the dollar in the foreign exchange markets, gold will rise much higher,” he explained in an entry.
Gold bitcoin comparison
Schiff said that even though gold was $ 3,800 gold and Bitcoin was $ 20,000, in terms of gold, the first -born crypt would decrease by 85%, and added that it would more likely terminate the comparison that Bitcoin is a store with value similar to gold.
“There will clearly be no justification for the US government or any state government to keep any bitcoin in a strategic reserve will be no reason for ETF investors to hold their positions either.
From writing is traded bitcoin on $ 82,433 with a market value of over $ 1.6 trillion.
Image from Pexels, Chart from TradingView
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