Peter Schiff Warns Next Market Crash Will Start in Bonds, Not Bitcoin
Key Facts
Amid heightened sensitivity in global financial markets, economist Peter Schiff has warned that the next major systemic collapse will originate in the bond market rather than Bitcoin. According to reports, Schiff argues that the real threat to global financial stability lies in rising U.S. Treasury yields. This perspective shifts the focus from cryptocurrency volatility toward the sovereign debt market as the primary catalyst for a potential economic downturn.
Schiff's warnings coincide with persistent pressure from tight monetary policies, as U.S. ISM Services PMI data held steady at 54 in July 2026, suggesting that interest rates may remain elevated. Per market data and expert analysis, the sheer scale of the U.S. Treasury market—valued at over $27 trillion—means that any instability there would have far more devastating global consequences than the failures seen in the digital asset sector.
Traders should closely monitor yield movements following recent economic indicators. Key upcoming catalysts include speeches from Fed officials Waller and Bowman, which may provide further clarity on interest rate trajectories.
Latest Updates · 1
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Update: Peter Schiff has recently expanded his warning, stating that the imminent Treasury market breakdown will likely spill over into the real estate and equity sectors. Schiff anticipates that this systemic instability will drive significant capital flows into gold, which he identifies as the primary safe haven against the devaluation of traditional financial assets.