No one believed the cry of "wolf." I, too, usually let Peter Schiff's words go in one ear and out the other. He constantly attacked Bitcoin as a scam, nitpicked at high-performing tech stocks, and poured out pessimistic views from the moment he opened his mouth; the market often saw him as a "broken clock." But one thing must be admitted: Schiff was right this time. The current market situation is developing exactly as he predicted.
Gold and silver prices are soaring. This cannot be simply attributed to speculative manipulation. It is a chilling warning to the core of our economic system, a silent scream from the market.
Let's think about this rationally. Investors are dumping what is considered the safest asset—U.S. Treasury bonds—globally like discarded shoes . This bizarre phenomenon—abandoning regularly paying interest bonds and fleeing to gold, a non-yielding asset with no interest—is happening. This is a paradox that capitalist logic cannot explain. It's a frightening sign that investors have chosen preservation over yield.
Schiff's diagnosis is clear. The rise in gold prices is not the problem. The essence lies in the fact that gold is rising "amidst an explosive increase in US national debt." The US government has printed astronomical amounts of bonds to pay off its debt, but the market is unable to absorb them. No, more accurately, it has lost the will. This means that market participants have declared a "withdrawal of trust" in the core system of the dollar and Treasury bonds.
The market's insight is sharp. The cold-blooded calculation has already proven true: "To repay the snowballing debt, the only solution is currency devaluation." The bill for the "liquidity feast" we've indulged in for the past decade is starting to arrive.
So what should we do? The answer is clear: we must abandon inertia in order to survive.
First, the definition of "safe assets" must be redefined . The equation "US Treasury bonds = risk-free" has been broken . The surge in gold and silver prices proves that funds are flowing massively into "hard assets" with no issuer risk. Blindly relying on investment portfolios based solely on paper currency will inevitably lead to losses.
Second, we should focus on the "feet" of funds, not the "mouths" of experts . Now is not the time to be swayed by the noise surrounding whether Bitcoin is alive or dead. Massive amounts of capital have stopped playing the yield game and retreated into the "value preservation" shelter. Going against this massive money move would be reckless.
Third, we must be prepared for a harsh shakeout . The era of guaranteed price increases through borrowed investment is over. Stocks lacking substantial themes will fall like autumn leaves; only assets with proven scarcity and credibility will survive.
Precious metals are usually silent, but in times of crisis, they scream to reveal the truth. Right now, that scream is like an alarm bell. If we ignore the message because we dislike messengers, we will be helpless in the face of the impending cataclysmic storm. Now is the time to be alert.
