Bitcoin ‘Death Spiral’ May Spark Its Worst Decline Ever, Warns Peter Schiff

Yahoo News · Jun 9, 2026

Bitcoin ‘Death Spiral’ May Spark Its Worst Decline Ever, Warns Peter Schiff

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Bitcoin ‘Death Spiral’ May Spark Its Worst Decline Ever, Warns Peter Schiff

Schiff claimed that crypto, artificial intelligence companies, and other high-growth investments are all competing for the same pool of investor capital.

The Majority Says Schiff Will Never Be Proven Right

Following the video, Schiff posted a poll on X asking followers how far Bitcoin would need to fall before investors admitted he had been right about the crypto. More than 16,000 users participated in the poll.

The largest share of respondents, 59%, selected “$0,” indicating they would not concede Schiff was right unless Bitcoin became entirely worthless. Schiff responded to the results by arguing that even a decline to $20,000 would likely be severe enough to bankrupt Strategy.

The response sparked backlash from the crypto community, with many calling out Schiff’s own failures at predicting Bitcoin.

A Long History of Bitcoin Decline Calls

Schiff’s latest warning is part of a pattern that stretches back more than a decade. According to data compiled by Bitcoin Obituaries tracker, Schiff has declared Bitcoin “dead” at least 22 times since 2011.

His first recorded call came when Bitcoin traded at roughly $17. The website ranks Schiff as the most prolific Bitcoin skeptic on its leaderboard, ahead of economist Steve Hanke and billionaire investor Warren Buffett. Despite the repeated predictions, Bitcoin has risen more than 4,100-fold since Schiff’s first recorded obituary call.

Strategy’s Bitcoin Sale Added Fuel To The Debate

While Schiff’s warnings remain highly controversial, recent developments at Strategy have intensified scrutiny of the company’s Bitcoin-backed financing model. On June 1, Strategy disclosed that it sold 32 Bitcoin between May 26 and May 31 for approximately $2.5 million.

The amount sold represented only a tiny fraction of Strategy’s more than 843,000 Bitcoin reserve. However, the move drew attention because Saylor had spent years championing a “never sell” philosophy.

It comes as Grayscale Research’s Zach Pandl recently highlighted concerns surrounding STRC, Strategy’s variable-rate preferred stock. Because the instrument is designed to trade near $100 per share, a sustained decline below that level could pressure the company to raise its dividend to attract buyers.

Critics, including Schiff, argue that higher dividend obligations could eventually force additional Bitcoin sales if other funding sources become unavailable. Supporters of Strategy, however, maintain that the company’s financing structure remains manageable and that Bitcoin’s long-term appreciation potential outweighs the risk.

Jiang Zhuoer, founder and CEO of Chinese mining pool BTCTOP, recently claimed that Strategy would survive even if Bitcoin fell to $30,000. He argued that Strategy can sell Bitcoin acquired at lower prices to realize gains that help fund STRC dividend payments.

This article has been published in ccn.com via Yahoo News.