Schiff Warns of Bitcoin Investment Risks as Strategy's Stock Plummets 47.5%
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
Source: Coinmarketcap
Updated: Jan 05 2026- Poor Bitcoin Performance: Schiff highlights that Bitcoin failed to perform positively in 2025, ending down approximately 7.5% despite the Nasdaq's 20% gain and gold's 64% surge, indicating a fundamental weakness in its investment thesis that could undermine future investor confidence.
- Strategy's Stock Collapse: The company's stock plummeted 47.5% in 2025, reaching a new 52-week low, and Schiff argues that if it were part of the S&P 500, it would rank among the worst performers, illustrating the failure of its Bitcoin buying strategy to deliver expected returns.
- Liquidity Risks Intensified: Schiff criticizes the liquidity of Strategy's Bitcoin holdings, asserting that large-scale liquidation would pressure market prices downward, locking in losses and suggesting that its financing model may not be sustainable if Bitcoin continues to weaken.
- Accelerated Capital Rotation: Schiff anticipates a shift in investor psychology in 2026, where more investors may realize that holding Bitcoin not only resulted in losses but also prevented participation in other asset rallies, potentially leading to capital outflows from Bitcoin into better-performing precious metals.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
