Renowned financial markets trader, Peter Brandt, has boldly proclaimed that Bitcoin is the superior asset when compared to gold and will maintain its dominance for the foreseeable future. Brandt shared his perspective in a recent article, where he confidently predicted that the premier cryptocurrency would remain on the throne while relegating gold to a lower status. In his analogy, Brandt depicted Bitcoin as the king, gold as a baron, and silver as the “court jester.”
To support his claim, Brandt presented an intriguing chart showcasing gold’s continuous decline against Bitcoin since 2012. The chart revealed that gold’s value has plummeted from 740 BTC to a meager 0.0352 BTC over the past 12 years. This significant decrease can primarily be attributed to Bitcoin’s impressive upward trajectory, currently valued at $65,000.
However, despite Brandt’s long-term prediction, recent market sentiment indicates a shift in investor preference. Bloomberg ETF analyst, Eric Balchunas, highlighted this change by pointing out that gold has been gaining momentum and attracting more trading volumes compared to BlackRock’s iShares Bitcoin Trust (IBIT), a popular Bitcoin ETF product. Balchunas speculated that this shift could be a result of gold’s recent relief rally following the downturn in Bitcoin’s price.
While Brandt envisions Bitcoin’s supremacy in the long run, Balchunas suggests that exhaustion in Bitcoin ETFs, particularly IBIT shares, may lead to a temporary diversion of funds to alternative assets like gold. This potential scenario could temporarily disrupt Bitcoin’s dominance.
Meanwhile, Bitcoin is still recovering from a recent correction that negatively impacted its price and the wider cryptocurrency market. Currently valued at $65,781, Bitcoin has experienced a 1.1% increase in the past 24 hours. In contrast, the price of an ounce of gold has decreased by 0.35% to $2,272.
It is important to note that this article is for informational purposes only and should not be considered financial advice. The opinions expressed in this article are solely those of the author and do not reflect the viewpoint of The Crypto Basic. Readers are advised to conduct their own research before making any investment decisions, and The Crypto Basic holds no responsibility for any financial losses incurred.