Both extremes are off here. Peter Schiff is correct in saying that if 10x more businesses accepted bitcoin today, we might have a surge of sell orders creating downward pressure. He just leaves it there, however. If the sell orders push down the price, (as other people are noting here) there are millions of bitcoin investors, some of them very wealthy, ready to pounce on purchasing opportunities. This creates serious upward pressure.

The end result?

A huge increase in volume and a stabilizing effect.

Which debunks his other notion that it is too volatile. The more merchants accept bitcoin, the more the price will stabilize for the reasons stated above.

This is why bitcoin moves slower in comparision to the rest of the alt coin market. This will only continue, imo, as the currency becomes more widely accepted. Once the market cap reaches 100 billion...i think the 10% plus or minus moving days like the one we just saw recently will struggle to max out at 3%.

Also FWIW, I think Peter Schiff's brother is smarter than Peter. I spoke with Andrew at Occupy wall st while his brother was making an ass out of himself and he was having genuine conversations with occupy people. Much cooler guy, imo.