Peter Schiff has warned that the next major market crash will begin in the bond market, not in Bitcoin (BTC). He believes rising U.S. Treasury yields pose a greater threat to global markets than crypto volatility.
Schiff points out that the 10-year Treasury yield is near 4.5% and the 30-year has climbed toward 5%, according to Treasury figures. He expects both to head sharply higher, which would lift borrowing costs everywhere and pressure stocks.
The average 30-year mortgage already sits at 6.49%, according to Freddie Mac's weekly survey, a level that keeps many buyers away. A deeper housing slump would then force the Federal Reserve to step in, he says, leading to more money printing and higher inflation.
Schiff doubts Wall Street's optimism about Bitcoin, citing its weak performance compared to tech stocks. He also expects investors to eventually flee into gold as risk assets unwind together.