As Bitcoin surges past $112,000 to set new record highs, prominent gold advocate Peter Schiff has sparked debate by urging investors to consider swapping their BTC holdings for silver. The Euro Pacific Capital CEO took to social media platform X on Thursday to share his controversial market advice.

Diverging Views on Digital vs Physical Assets

Schiff's post argued that silver presents greater upside potential with limited downside risk compared to Bitcoin, which he characterized as prone to dramatic crashes. "With Bitcoin hitting new highs today (in dollars), it's a great time to sell some and buy silver ahead of silver's next big leg up," the longtime crypto skeptic wrote.

This perspective contrasts sharply with bullish crypto market sentiment. BitMEX co-founder Arthur Hayes acknowledged short-term concerns about US Treasury liquidity but maintained optimism about Ethereum's performance potential. ——Ether will outperform, get ready for a monster altcoin season—— Hayes predicted in his Friday market commentary.

Macroeconomic Factors Driving Bitcoin's Rally

The price surge comes amid growing institutional interest, with BTC trading at 【$118,000】 at press time — a 6% daily gain. OKX European CEO Erald Ghoos noted Bitcoin's evolution into a "digital macro hedge" comparable to gold, particularly as global trade tensions escalate.

Tariff policies appear to be influencing market behavior. Hayes suggested traders anticipate potential US policy shifts, while his Maelstrom fund prepares to reenter the market. The divergent views highlight the ongoing debate about Bitcoin's role versus traditional stores of value like precious metals.

Technical Indicators and Market Sentiment

Analysts point to several factors supporting Bitcoin's current momentum: • Record ETF inflows totaling 【$2.1 billion】 this week • Declining exchange reserves signaling supply constraints • Unusually low volatility by historical standards

OKX's global CEO Roshan Robert emphasized Bitcoin's unique position: "While ongoing trade tensions flare and altcoins stumble, institutions are treating Bitcoin as a macro hedge and maturing asset class." The comments come as silver trades at 【$32.50】 per ounce — up 18% year-to-date but significantly less volatile than crypto markets.

Market observers will be watching whether Schiff's silver prediction materializes or if Bitcoin continues defying skeptics. The precious metal has underperformed gold recently, while BTC's latest surge comes despite typical summer doldrums in financial markets.