Price of gold vs. price of bitcoins

[Biomech]

Hey y'all.

I've noticed something over the last few days. An interesting correlation proving nothing, but interesting nevertheless.

Gold goes up, bitcoins go down vs. the dollar, and vise versa.

Wonder if people are starting to see bitcoin as a better hedge?

I'd disagree if they do, but it's still and interesting correlation.

[1714159490]

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[1714159490]

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[1714159490]

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[TheGovernedSelf]

Gold is undervalued relative to stocks/bonds/etc, but bitcoin is tremendously undervalued, if only against gold.

So...Yes.

[Biomech]

Gold is undervalued relative to stocks/bonds/etc, but bitcoin is tremendously undervalued, if only against gold.

So...Yes.

I tend to agree in the short term, however I see problems in the longer term. Gold exists. It is a basic element, can only cease to exist if the laws of physics cease, and is a known quantity.

Both have scarcity working for them. Both are currently viewed as a safe haven. But gold doesn't have the extreme volatility of bitcoin.

I see them working in tandem. But if the average man starts to see btc as a store of wealth ON PAR with gold, could make for some very interesting opportunities.

And of course a two week trend of correlation is hardly more than speculation, so this could be meaningless.

All in all, I think that cryptocurrency. Is a positive step away from the current clearly doomed to fail versions of free floating currencies. But so far its adoption is wide but not deep.

[Lethn]

I think it's more like people are buying both, I wouldn't be surprised if people were dumping some of their gold to get paper and then to buy Bitcoin, both have value, much more so than paper money, so it would make more sense to have a bit in both rather than just one. I think Bitcoin is certainly more practical if you actually want to use it for commerce but the thing is as well, Bitcoin is deflationary just like gold, I'm not surprised if the two are complimenting each other and ignoring paper finally.

It just goes to show you how utterly fucked up paper money is making everything.

[hahahafr]

Gold is undervalued relative to stocks/bonds/etc, but bitcoin is tremendously undervalued, if only against gold.

So...Yes.

I tend to agree in the short term, however I see problems in the longer term. Gold exists. It is a basic element, can only cease to exist if the laws of physics cease, and is a known quantity.

Both have scarcity working for them. Both are currently viewed as a safe haven. But gold doesn't have the extreme volatility of bitcoin.

I see them working in tandem. But if the average man starts to see btc as a store of wealth ON PAR with gold, could make for some very interesting opportunities.

And of course a two week trend of correlation is hardly more than speculation, so this could be meaningless.

All in all, I think that cryptocurrency. Is a positive step away from the current clearly doomed to fail versions of free floating currencies. But so far its adoption is wide but not deep.

What you said about gold is right. But it's not only an advantage. The fact that gold exists physically means that you can't transmit its value other way than physically.