Bitcoin who? Gold is still trader’s favorite go-to in the world of precious metals, and gold has been experiencing new highs almost in lockstep with Bitcoin.
As of Monday, March 11, 2024 at 11:30 AM EST gold was trading at $2,189.20 per troy ounce.
Bitcoin is up 64.14% year to date, or +28,331.20 for the year, and is trading at $72,503.20 ss of Monday, March 11, 2024 at 11:35 AM EST (because I like to be exact when quoting prices).
The price of an ounce of gold is up 5.63% year to date, predominantly due to concerns that the Federal Reserve will begin cutting rates in the second half of 2024. The logic there is that many believe gold to be a hedge against inflation, believing it will hold its value over time in the face of inflation.
I personally believe that while Bitcoin is going to continue an upward trajectory for some time to come, eventually I believe the price of Bitcoin will stabilize and someday move in lockstep with the price of gold. When that time comes Bitcoin’s place in the world of “safe financial assets” will be cemented, and investors will seek out Bitcoin for safety as they do now with gold in times of economic upheaval. Again, that’s my long term belief, but as always DYOR.
