Bond Market Breakdown Predicted to Spark Next Major Crash, Not Bitcoin

Peter Schiff has warned that the next major market crash will begin in the bond market, not in Bitcoin. He argues that rising U.S. Treasury yields pose a real threat to global markets, rather than crypto volatility.

The warning centers on a bond market that Schiff says has already begun to break. The 10-year Treasury yield sits near 4.5%, while the 30-year has climbed toward 5%, according to Treasury figures.

Rising yields lift borrowing costs everywhere, Schiff argues. This would pressure stocks, deepen a housing affordability problem, and slow growth. The average 30-year mortgage already sits at 6.49%, according to Freddie Mac’s weekly survey, a level that keeps many buyers away.

Schiff expects the Federal Reserve to step in due to a deeper housing slump, leading to more money printing and higher inflation. Both outcomes favor precious metals, he says, with gold now trading above $4,100 an ounce.