Peter Schiff warns that Trump's State of the Union address could trigger a "sell-off," increasing the risk of a short-term pullback after Bitcoin's rally.
On February 25th, just before Trump’s State of the Union address, Bitcoin’s price briefly surged from around $64,000 to nearly $66,000, sparking discussions about policy-driven market expectations. Although the short-term rebound boosted some crypto market sentiment, well-known gold supporter Peter Schiff expressed clear skepticism about this rally, believing it is more likely driven by speculative funds positioning ahead of policy speeches rather than genuine demand improvement.
Peter Schiff posted on social media that traders may be betting on Trump mentioning Bitcoin in his speech, thus buying in advance to create upward momentum. He emphasized that if the speech does not mention cryptocurrencies, market sentiment could decline; even if it does, there is a possibility of “profit-taking once the positive news is priced in.” Such expectation-driven volatility is common in macro event cycles, often accompanied by high fluctuations and short-term capital battles.
Looking at the data, Bitcoin is currently around $64,900, with intraday gains of about 3% to 4%. However, the weekly and monthly charts remain in a downtrend, indicating that the medium-term trend has not fully recovered. The market is also watching the key psychological level of $65,000; if it falls below, short-term bullish momentum could further weaken.
Peter Schiff has previously warned multiple times that Bitcoin may face a deep correction and reiterated his skepticism of the “digital gold” narrative, arguing that investors should not replace traditional safe-haven assets with it. Meanwhile, macro uncertainties and policy expectations continue to influence crypto market volatility, making event-driven moves more likely to amplify short-term price swings.
It is worth noting that the content of this State of the Union address mainly focused on economic issues and did not explicitly mention Bitcoin or the crypto industry, which has somewhat cooled the optimism among some traders. In the short term, the market will closely monitor policy signals, capital flows, and key support levels to determine whether Bitcoin’s rise is a temporary rebound or a technical correction following an event-driven surge.
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