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Gold vs Bitcoin: Where does true trust lie in uncertain times?

The geopolitical situation remains tense. The diplomatic discussions and diverging interests between the USA and the EU regarding Greenland are causing unrest on the markets. Such uncertainties have historically been the fuel for "flight currencies". But how are the two major assets reacting to this?

Gold $GLDA (+0,67 %)
: When there is a political crunch, gold usually reacts immediately. It is the tried and tested "safe haven". Investors seek stability and protection against currency risks. The gold price benefits directly from the fear of escalation and remains stable or rises.

Bitcoin $BTC (-0,53 %)
: In theory, Bitcoin is often referred to as "digital gold", which should benefit from government crises. However, the current market movement paints a different picture: the price has recently fallen. Apparently, investors are not (yet) treating Bitcoin as a safe haven in this phase of uncertainty, but as a risk asset.

My conclusion: Gold is once again proving itself to be the rock of value preservation. Bitcoin, on the other hand, is currently struggling to prove this status.

What is your opinion on this? Do you see the current setback in Bitcoin as a buying opportunity or a warning signal? What do you think needs to happen for Bitcoin to achieve the same status as gold?

13 Comentarios

Stefan21@stefan_21

Gold has a large market capitalization coupled with a long history - and with it the trust of the masses. Everyone knows gold in its role as a store of value.

Fundamentally speaking, however, gold's long history is also its only advantage over Bitcoin. Bitcoin is absolutely limited and is not subject to the oracle problem in a digital world.
While gold is traded via certificates for the sake of simplicity, because it is difficult to move gold quickly from A to B, there are countless parties of trust along the chain, including third-party risks.

You can easily transport Bitcoin, you can easily store large quantities - even in your head if necessary, it is forgery-proof, etc.

Bitcoin is currently still understood by far too few people.
This discrepancy between "It's the best money in the history of mankind" and "It's digital nothingness traded according to the Greater Fool principle" is the reason for its volatility and why it doesn't yet behave like a safe haven.

Bitcoin first has to earn the trust that people have in gold. Step by step.
But once it has the trust that gold enjoys, the price will be much higher.

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Ver todas las 9 respuestas adicionales

HoldTheMike@HoldTheMike

The first asset of my life was gold -> 1/10 Australian Kangaroo. That was 17 years ago. Since then I've added to it again and again, but in the last five years I've let it slide.
Gold is and remains my safe haven.
Bitcoin is still too volatile and there is still no "if event XY happens, Bitcoin goes up."
Gold does.

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Pascal@Pacco93

@HoldTheMike The Bitcoin disciples are about to come and demonize you again 😂

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Harald@Madhatter5566

You could have used any other hype instead of Bitcoin. Nfts, tulips, coins. All the same junk that will crash at some point.

Anyone who believes that the current hype will be different from the thousands of other hypes hasn't heard the shot yet

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burnheart@burnheart

Bitcoin is more of a risk asset like tech and also correlates more with nasdaq&co. The term digital gold refers more to the use case - holding and betting on appreciation; in contrast to many other cryptos.

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