Ethereum Surges, But Peter Schiff Doubles Down on Bitcoin—Here’s Why

Gold bug turned crypto critic Peter Schiff just can’t quit Bitcoin—even as Ethereum notches another bullish rally. The outspoken economist reaffirmed his controversial stance today, dismissing ETH’s gains as ‘speculative noise’ while clinging to his OG crypto pick. Here’s the breakdown.

Schiff’s Unshaken Bitcoin Bias

While DeFi degens chase the next altcoin pump, Schiff’s playing the contrarian card hard. His latest tweetstorm slammed Ethereum’s ‘lack of intrinsic value’—a curious critique from someone whose favorite asset literally gets dug out of the ground. The irony? Bitcoin maximalists cheered while ETH holders rolled their eyes so hard they spotted the next NFT bubble forming.

The Real Story Behind the Rally

Market watchers note Schiff’s timing couldn’t be worse—Ethereum’s infrastructure upgrades are finally bearing fruit, with institutional inflows hitting 2025 highs. But when has data ever stopped a good narrative? One hedge fund manager (who requested anonymity) quipped: ‘Peter’s like a boomer at a rave—yelling about gold while everyone’s making bank on smart contracts.’

Why This Matters

Schiff’s rant isn’t just financial entertainment—it highlights crypto’s eternal store-of-value debate. Bitcoin’s digital gold narrative vs. Ethereum’s programmable economy vision. Meanwhile, the rest of us are just trying to time the next dip before the Fed ruins everything again.

Ethereum’s Recent Surge Cuts Bitcoin’s Market Share

Despite Peter Schiff’s preference for Bitcoin, Ethereum has shown strong performance, especially over the last week. Ethereum’s price broke the $4,000 mark and reached a new high for 2025. Ethereum’s recent bullish behavior coincided with an increase in whale transactions and rising derivatives activity, which further fueled speculation around the token.

The increased trading volume and open interest in Ethereum suggest that institutional investors and traders are increasingly interested in the asset.

Well Ether is up a bit since I recommed switch it into Bitcoin, but I still think the trade will work out. If fact, it was woring well initially, until Ether just rallied late last week. I have no interest in owning either, but if you put a gun to my head, I'd chose Bitcoin.

— Peter Schiff (@PeterSchiff) August 9, 2025

However, this surge in Ethereum’s price and market activity has resulted in a noticeable shift in market dominance. Bitcoin’s market share has fallen to 59.1%, a drop of nearly 5% from the previous month. In contrast, Ethereum’s market share has risen to 13%, marking a gain of over 3%. These shifts reflect a broader trend of capital moving out of Bitcoin and into Ethereum and other altcoins, a trend that Schiff acknowledged while maintaining his preference for Bitcoin.

Bitcoin’s Dominance Decline Reflects Changing Market Trends

Bitcoin’s dominance in the overall cryptocurrency market has been declining. From a high of 65.1% in June 2025, Bitcoin’s market share has now dropped to 59.1%. This represents a significant change in the market dynamics, as Ethereum’s market share has risen from 9.7% to 13%.

The rise of Ethereum and other altcoins is a reflection of growing diversification in cryptocurrency portfolios, as more investors seek exposure to a broader range of assets beyond Bitcoin.

While bitcoin still holds a commanding lead over other cryptocurrencies, the narrowing gap between Bitcoin and Ethereum suggests increased competition for market share. The overall market dominance of altcoins, including Ethereum, now stands at 28%, up from 26.4% last month. This shift could indicate that investors are looking beyond Bitcoin for potential growth, especially as Ethereum strengthens its position in the market.

Factors Behind the Decline in Bitcoin’s Dominance

Several factors are contributing to the decline in Bitcoin’s dominance. One of the key reasons is the growing institutional interest in Ethereum, which has become more attractive due to its functionality and the expanding ecosystem around decentralized finance (DeFi). Ethereum’s network upgrades and its role in smart contracts have made it a more versatile platform compared to Bitcoin, which is primarily viewed as a store of value.

Additionally, the ongoing developments in Ethereum, such as the surge in transaction volume and its integration with various decentralized applications, have drawn more attention from institutional players. These factors have led to a stronger market position for Ethereum, which continues to challenge Bitcoin’s dominance in the broader cryptocurrency space.

However, despite these shifts, Bitcoin remains the largest cryptocurrency by market capitalization and continues to attract institutional interest. The recent approval of Bitcoin ETFs and the demand for Bitcoin from corporate treasuries have helped maintain Bitcoin’s position as the leading cryptocurrency.