Peter Schiff has warned that Bitcoin could suffer the opposite fate from silver after its sudden sharp rally. Based on the reports, traders and analysts are debating whether silver’s move signals a significant return to real assets, or a short-term crowded trade that could quickly unwind.
Related books
silver rapid climb
Silver soared more than 10% in one session, rising from about $78 to $79 in about 90 minutes, according to trading data.
Spot silver rose 18% last week to close at a record high of $79.31 on weak post-Christmas trading volumes and its new status as a strategic metal.
Reports have revealed that the rise is not driven by geopolitics or expectations for US interest rate cuts, but rather by supply shortages and Washington’s decision to classify silver as a critical mineral.
TradingView’s chart showed an almost vertical breakout, and the monthly RSI reading hit a 45-year high, showing signs of extreme momentum.
What is happening with silver may soon be happening in reverse with Bitcoin. However, the time frame of the move should be condensed, as markets tend to collapse faster than they collapse.
— Peter Schiff (@PeterSchiff) December 27, 2025
Tokenized products and market value
Tokenized versions of metal assets are also becoming popular. According to the report, the combined valuation of these crypto-linked commodity tokens is approaching $4 billion, reflecting increased investor curiosity.
Data from CompaniesMarketCap shows that the market value of silver has narrowed the gap with NVIDIA, and this comparison highlights strong institutional demand for metal exposure.
Still, tokenized assets remain small compared to spot markets and large ETFs, meaning the change is visible but not yet widespread.
Silver vs. Bitcoin
Bitcoin traded near $87,000 during the same period, with little movement, according to CoinMarketCap’s snapshot, although some market charts show that Bitcoin has lost relative ground compared to silver since 2017.
The silver-to-bitcoin valuation model shows Bitcoin’s trend value at nearly $394,000, a figure that has sparked debate among traders as to where each market will go next.
Strong inflows into the BlackRock Bitcoin ETF in 2025 indicate steady accumulation of the cryptocurrency by institutional investors, but other indicators suggest that without new catalysts, Bitcoin’s rally may stall.
spot silver surge
Spot silver’s significant weekly rally has divided opinion among technologists and strategists. Some say the move reflects a real mismatch between supply and demand, reinforced by the U.S. critical minerals designation, and is encouraging long-term buying.
Some point to thin trading volume after the holidays as a factor that magnified the price fluctuations. The closing price reversal top pattern at a record high has been flagged by chart watchers, indicating that such a rapid rally could be followed by a correction.
These signs, coupled with the extreme RSI readings, raise questions about the sustainability of the current breakout.
Related books
technical warning sign
Market veterans stress that the rapid rally could quickly reverse once liquidity dries up. Peter Schiff argued that the idea is important because under pressure, declines often accelerate, and crowded positions can be unwound in the short term.
At the same time, long-term inflows into Bitcoin-related ETFs and institutional products should not be ignored. It will be able to support higher prices over time.
The next thing traders will focus on is trading volume, whether silver breaks above current levels, and whether Bitcoin regains momentum in the face of the metal’s strength.
Featured image from Unsplash, chart from TradingView
