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This is the logical extension of the peek-a-boo fallacy.

The moon doesn't stop being closer to the earth simply because you can't see it from a particular point on the Earth.

About the only thing you can say is that if you were to proceed outward on a linear path from the opposite side of the Earth from that which the moon is currently positioned, then you would reach something other than the moon sooner than you would reach the moon.

But that would be saying nothing, really.

Haha, yes! They meant "closer to the earth than the moon is", not "closer to the earth than to the moon." It will never meet that second criterion, since it will only be about 20% closer to the earth than the moon is.

Um, short answer, no.

You're not related to the Ravenous Bug Blatter Beast of Traal by any chance are you?

I suppose so but that is not really the point. The point is that the asteroid will be closer to the Earth than the moon is to Earth. Now, that is worth noting.