Increasing dominance of gold

[sana54210]

Gold will be an option in maintaining value that does not have high fluctuations, bitcoin still has high fluctuations so that most governments and institutions make more purchases of gold than bitcoin even though today we see some countries making purchases of bitcoin but little of the portfolio they share to buy bitcoin.

Talking about bitcoin as a substitute for gold I think it will not happen it will only be an alternative even though many claim that bitcoin is digital gold, it is just a framing taken from some of the same properties of both in different places, diversifying both is one of the safest forms of investment we can take now.

It is quite normal, with how everything is going at the moment, people are looking into this like it is a way to save themselves. Look at the world, we are basically brink of another war, everyone is financially attacking each other and hate is growing faster than love.

So people who invest into gold, are doing it not because they love gold, but because they believe gold is the only way to store their value and that is why they are buying more. With the way markets are acting, thinking stocks would stay safe, or bonds would stay safe, is childish. So they buy gold (and we buy bitcoin) because they know that no matter what happens, there is a value for gold and if we buy more of it, then we could make more money with it.

[ZAINmalik75]

So people who invest into gold, are doing it not because they love gold, but because they believe gold is the only way to store their value and that is why they are buying more. With the way markets are acting, thinking stocks would stay safe, or bonds would stay safe, is childish. So they buy gold (and we buy bitcoin) because they know that no matter what happens, there is a value for gold and if we buy more of it, then we could make more money with it.

They are not wrong about that thought because the history of gold tells us that even though it doesn't go up as quickly as Bitcoin or cryptocurrencies, but it has always been a profitable asset over the centuries and it has been the most used investment asset from traditional times because people always knew it's a precious metal and it will always have value, and over time, its value can increase as its use cases will increase. Compare its price from 2010 to now, and you will see the results.

The price of 1 ounce of Gold in 2010 was around $1,200 or something, and today, it's over $3,000 an ounce. So, that's profit, even though it's not a lot as I said, but for someone who is patient and is only looking for something where they can store their wealth that wouldn't lose value over time and will also be safe, then gold is a great option.

[BenCodie]

Gold will be an option in maintaining value that does not have high fluctuations, bitcoin still has high fluctuations so that most governments and institutions make more purchases of gold than bitcoin even though today we see some countries making purchases of bitcoin but little of the portfolio they share to buy bitcoin.

Talking about bitcoin as a substitute for gold I think it will not happen it will only be an alternative even though many claim that bitcoin is digital gold, it is just a framing taken from some of the same properties of both in different places, diversifying both is one of the safest forms of investment we can take now.

It is quite normal, with how everything is going at the moment, people are looking into this like it is a way to save themselves. Look at the world, we are basically brink of another war, everyone is financially attacking each other and hate is growing faster than love.

So people who invest into gold, are doing it not because they love gold, but because they believe gold is the only way to store their value and that is why they are buying more. With the way markets are acting, thinking stocks would stay safe, or bonds would stay safe, is childish. So they buy gold (and we buy bitcoin) because they know that no matter what happens, there is a value for gold and if we buy more of it, then we could make more money with it.

I would say that we aren't on the brink of war but in the middle of a financial game of chess. I truly believe that all countries have developed economically and from the perspective of military, that there is an understanding that one offensive move could mean obliteration for the perpetrator, and possibly many of those surrounding them. What is happening now is uncertain economically, and gold is traditionally a hedge/safe haven for when times get tough, because its economic parameters give it the properties that make it safer than holding dollars or investing in traditional or speculative assets. I'm sure in the next crisis in 10-15 years, Bitcoin will take its place. I am curious to see how it holds up during this one.

[Akbarkoe]

Gold will be an option in maintaining value that does not have high fluctuations, bitcoin still has high fluctuations so that most governments and institutions make more purchases of gold than bitcoin even though today we see some countries making purchases of bitcoin but little of the portfolio they share to buy bitcoin.

Talking about bitcoin as a substitute for gold I think it will not happen it will only be an alternative even though many claim that bitcoin is digital gold, it is just a framing taken from some of the same properties of both in different places, diversifying both is one of the safest forms of investment we can take now.

It is quite normal, with how everything is going at the moment, people are looking into this like it is a way to save themselves. Look at the world, we are basically brink of another war, everyone is financially attacking each other and hate is growing faster than love.

So people who invest into gold, are doing it not because they love gold, but because they believe gold is the only way to store their value and that is why they are buying more. With the way markets are acting, thinking stocks would stay safe, or bonds would stay safe, is childish. So they buy gold (and we buy bitcoin) because they know that no matter what happens, there is a value for gold and if we buy more of it, then we could make more money with it.

And indeed if we look at stocks or bonds then if the fundamental structure is destroyed like a company or government is destroyed then it will be a bad thing in investment. that is not the best solution to handle prolonged finances, yes the ongoing conflict could become a military conflict and we know the consequences of a war where all assets could be destroyed which makes us lose what we have, even when our country is not at war, if investing in stocks in companies in countries that are in conflict and destroyed then our money will disappear, and we know that for thousands of years gold has always been an irreplaceable measure of value on this earth, while bitcoin which has just been born for a decade can create the same opportunity even though its adoption is still small compared to gold adopters.

because of that small adoption the fluctuation in bitcoin is very fast, people are not so sure about Bitcoin in the future than Gold because it has been tested for so long, so yes we should take a middle ground to save wealth is to diversify both and in which part is bigger it depends on each risk management.

[JunaidAzizi]

I don't know about the video you are referring to, but what I am aware of is that some states are moving towards gold reserves. They have started efforts over the past few decades to adopt gold as a reserve and lessen their dependency on the USD. The reason is clear, they don't want the dollar to dominate the world and also want to protect themselves from losses. With the USD, they may face sudden losses, and a central government can devalue it at any time, while gold is neutral; no government has full control over its prices.

Now, if the government adopts gold as a reserve, then obviously the prices will go up because the demand will be high. However, I think the term "uncontrollable" is too much because the price will not rise excessively. If it does, it will create many tough situations for the Asian people who are really dependent on gold, and for middle class families, buying it will become difficult.

[Mate2237]

I don't know about the video you are referring to, but what I am aware of is that some states are moving towards gold reserves. They have started efforts over the past few decades to adopt gold as a reserve and lessen their dependency on the USD. The reason is clear, they don't want the dollar to dominate the world and also want to protect themselves from losses. With the USD, they may face sudden losses, and a central government can devalue it at any time, while gold is neutral; no government has full control over its prices.

Now, if the government adopts gold as a reserve, then obviously the prices will go up because the demand will be high. However, I think the term "uncontrollable" is too much because the price will not rise excessively. If it does, it will create many tough situations for the Asian people who are really dependent on gold, and for middle class families, buying it will become difficult.

Gold has been one commodity that been of value ever since time so am not really surprised about Gold dominating and getting more adoption rate because gold is one commodity that doesn't decrease in price instead it appreciate so it's more adviceable for country's to save their wealth in gold because it's will be hard for any major world economic issue to affect the price of gold


Another thing that we need to take note of is that I think politics too has  a role to play because people are saving more on goal reserves because saving a country wealth on any of the world leading countries will make that country have undue advantage and power over any country because any decision that such a country makes will affects the country that is saving their wealth on the currency of the other one

[Abiky]

Mining gold on earth is getting harder and more expensive, and this is one of the reasons why the price of gold does not decrease despite the supply increasing every year. So don't rush into thinking about mining gold on other planets any time soon and it's easy as you think. Even the idea of ​​mining gold off Earth would make gold more valuable as people realize that there is not enough gold on Earth to use and we have to venture out into space to find and mine gold.

In the evolution of the world, humans have invented many great works, they can fake diamonds, invent bitcoin...but for thousands of years they still cannot fake gold or find any other material that can replace it. The role and importance of gold will not disappear in the future even though we are living in a digital world. It is the truth and we need to accept the reality.

Same way as it's getting harder and more expensive to mine Bitcoin. In fact, Bitcoin is better than Gold because it's portable and the supply is predictable. Several countries have discovered new Gold deposits (one of them is China), but nobody knows the exact amount of Gold on Earth. There could be way more than we've ever imagined.

I see Gold's dominance as a "temporary" thing. After all, Bitcoin's fairly new to the world. Once everyone adopts BTC as the new Gold, things will never be the same. Most likely, Gold will lose investor appeal as everybody moves to Bitcoin for long-term wealth preservation. It should only be a matter of time before this happens. 16 years is not enough for the crypto market to reach maturity. Either way, there's nothing wrong with buying and holding both commodities for the long term. Diversifying your investment is the key towards minimizing losses. Just be careful not to invest more than what you can't afford to lose, and there should be nothing to worry about.

[Smack That Ace]

Same way as it's getting harder and more expensive to mine Bitcoin. In fact, Bitcoin is better than Gold because it's portable and the supply is predictable. Several countries have discovered new Gold deposits (one of them is China), but nobody knows the exact amount of Gold on Earth. There could be way more than we've ever imagined.

But the problem is that gold is not only used for investment but can also be widely applied in reality, many uses...making the demand for gold only increase every day. That is why the world hopes to find more and more gold, which will increase the value of gold instead of depreciating like other assets when supply increases.
Meanwhile, bitcoin is a virtual asset used only for investment, with very limited practical applications, so even though its supply is less than gold, it is not enough to compete with gold. The value of an asset is determined not only by supply but also by use case, demand...

I see Gold's dominance as a "temporary" thing. After all, Bitcoin's fairly new to the world. Once everyone adopts BTC as the new Gold, things will never be the same. Most likely, Gold will lose investor appeal as everybody moves to Bitcoin for long-term wealth preservation. It should only be a matter of time before this happens. 16 years is not enough for the crypto market to reach maturity. Either way, there's nothing wrong with buying and holding both commodities for the long term. Diversifying your investment is the key towards minimizing losses. Just be careful not to invest more than what you can't afford to lose, and there should be nothing to worry about.

I don't know if gold will lose its appeal or not because that is the future but I know one thing is that gold has always attracted people for over 1000 years and no one can replace it. If bitcoin wants to surpass gold, it may take 50-100 years, not 5 or 10 years as many people think.

[Nothingtodo]

I was watching a video where they told that now most countries are depositing gold as reserves instead of buying US dollar deposits. Does this mean that price of gold will be uncontrollable in coming years ? Is it going to affect the buying behavior related to gold for common people ?

If the dominance of the US dollar decreases, then gold reserves will automatically increase and people from different countries will continue to invest in gold. Donald Trump's imposition of tariffs on various countries will be responsible for the decline in the dominance of the US dollar. Moreover, due to such volatile market conditions in the Bitcoin market, Bitcoin investors are becoming interested in investing in gold.

[RockBell]

I was watching a video where they told that now most countries are depositing gold as reserves instead of buying US dollar deposits. Does this mean that price of gold will be uncontrollable in coming years ? Is it going to affect the buying behavior related to gold for common people ?

Gold has been in existence for a very long time now and even in the ages people use it as a reserve and the worth of gold will not die some countries even prefer gold to use us dollar as their foreign reserve and this is their choice they want to make a difference about everything but only a few countries use gold as there reserve and even the USA use gold except for now that they are trying to divert there reserve into bitcoin and if eventually, the decision of trump favors bitcoin then it will make more sense to the holders.

If the dominance of the US dollar decreases, then gold reserves will automatically increase and people from different countries will continue to invest in gold. Donald Trump's imposition of tariffs on various countries will be responsible for the decline in the dominance of the US dollar. Moreover, due to such volatile market conditions in the Bitcoin market, Bitcoin investors are becoming interested in investing in gold.

for some time now a lot of countries have used the us dollar so the dominance keeps increasing and people are still using it eventually does that don't want to use the us dollar will have to use gold as an option and it will be beneficiary for the gold market, I don't know if the increase in tariff will change countries mind but what I know is that over time there will be great variation between the currencies because of most of this polices.

[JunaidAzizi]

I was watching a video where they told that now most countries are depositing gold as reserves instead of buying US dollar deposits. Does this mean that price of gold will be uncontrollable in coming years ? Is it going to affect the buying behavior related to gold for common people ?

If the dominance of the US dollar decreases, then gold reserves will automatically increase and people from different countries will continue to invest in gold. Donald Trump's imposition of tariffs on various countries will be responsible for the decline in the dominance of the US dollar. Moreover, due to such volatile market conditions in the Bitcoin market, Bitcoin investors are becoming interested in investing in gold.

Yes, you are right, people will definitely turn to gold if the dollar value goes down. There are already some activities aimed at decreasing the dollar's value, such as BRICS, which is making the dollar less dominant in Asia. Besides the dollar, crypto users also want to invest in gold because they fear a sudden market crash. They worry that if it happens, at least they will have some investments they can utilize to recover themselves. Gold is a stable asset, and if something were to happen, people would definitely turn to gold investments to secure their future.

[Abiky]

But the problem is that gold is not only used for investment but can also be widely applied in reality, many uses...making the demand for gold only increase every day. That is why the world hopes to find more and more gold, which will increase the value of gold instead of depreciating like other assets when supply increases.
Meanwhile, bitcoin is a virtual asset used only for investment, with very limited practical applications, so even though its supply is less than gold, it is not enough to compete with gold. The value of an asset is determined not only by supply but also by use case, demand...

True. But can Gold be "programmed" or used as a platform to store data or other types of content? I doubt it. That's where Bitcoin comes in. With Bitcoin not only you can use it as a store of value or a currency to send/receive money, but also as a platform for NFTs (digital art, tokens, collectibles), "De-Fi", decentralized identities, and more. That's the beauty of digital money. It's programmable and its functions can be extended to ways we couldn't imagine. Bitcoin can also exist in physical form. Private keys can be printed or engraved on physical coins, bars, or even paper.

So yes, Bitcoin can do what Gold does and much more. Of course. Change won't happen overnight. It going to take 50-100 years like you've said for BTC to replace Gold. I'm in no hurry to see this happen. In the meantime, I'd suggest you take advantage of both BTC and Gold to help protect yourself against inflation. You'll thank me later.

[X-ray]

I was watching a video where they told that now most countries are depositing gold as reserves instead of buying US dollar deposits. Does this mean that price of gold will be uncontrollable in coming years ? Is it going to affect the buying behavior related to gold for common people ?

If the dominance of the US dollar decreases, then gold reserves will automatically increase and people from different countries will continue to invest in gold. Donald Trump's imposition of tariffs on various countries will be responsible for the decline in the dominance of the US dollar. Moreover, due to such volatile market conditions in the Bitcoin market, Bitcoin investors are becoming interested in investing in gold.

I actually thinking that gold possibly on its ATH already, right at this moment.

Although countries are switching to gold for their reserve, I don't think they can break free from not using USD, moreover crypto has allowed USD to be used widely across the globe in flexible manner through stablecoin which make up for these countries' attempt to not use US dollar because guess what, now their citizen holding dollars through crypto stables. see the trading volume of stables and you'd be surprised.

I would not worry for USD to lose its dominance for at least another 10 years. it's still going strong.

[DanWalker]

I actually thinking that gold possibly on its ATH already, right at this moment.

Although countries are switching to gold for their reserve, I don't think they can break free from not using USD, moreover crypto has allowed USD to be used widely across the globe in flexible manner through stablecoin which make up for these countries' attempt to not use US dollar because guess what, now their citizen holding dollars through crypto stables. see the trading volume of stables and you'd be surprised.

I would not worry for USD to lose its dominance for at least another 10 years. it's still going strong.

Regardless of whether gold prices hit an ATH or not, central banks will continue to buy gold because they see it as a safe haven that helps stabilize the economy. They buy gold to secure the economy, not to speculate like us, so they don't care about the price of gold.
But I agree with you, no matter how much the demand for gold increases, the world cannot eliminate the USD in the near future, it will still be the world's currency for the next few decades.

However, USD is still strong, accounting for 57% of global foreign exchange reserves but not as strong as you might think. USD's dominance has dropped from 66% to 57% since 2015 to date. This ratio will continue to decline in the coming years as BRICS accelerates de-dollarization.


https://wolfstreet.com/2025/01/05/status-of-us-dollar-as-global-reserve-currency-usd-share-drops-to-30-year-low-central-banks-pile-on-other-currencies-gold/

[justdimin]

Gold will be an option in maintaining value that does not have high fluctuations, bitcoin still has high fluctuations so that most governments and institutions make more purchases of gold than bitcoin even though today we see some countries making purchases of bitcoin but little of the portfolio they share to buy bitcoin.

As far as I know, except for El Salvador, no government has bought bitcoin and it's all just rumors. And given the current situation, they will say “No” even more to bitcoin, an extremely volatile asset that is likely to be dumped even further if the economy takes a turn for the worse.

There were talks about central Africa getting some, but yeah you are generally right that they do not "buy" it. However, it is good to remember that they do seize bitcoin all over the world, not just one or two nations, but every nation does that when they can, and sometimes they hold it, and sometimes they sell it.

Germany for example sold bunch of bitcoins for a very cheap price, they must be feeling regret about that, but they had some and sold it which proves that while they may not buy it, they still do get it by seizing it. I agree on gold being a safer place to put money into, specially if you are a government, but this doesn't mean that they are all turning their backs on bitcoin, they are looking into it as well.

[TalkativeCoin]

The points about states adopting gold to hedge against USD volatility are spot on, JunaidAzizi’s concern about central governments struggling with price control if demand spikes is a real issue. Especially with gold’s price already basically x3 from since 2010.

Bitcoin’s somewhat slower adoption doesn’t mean it lacks value here. Its decentralized nature makes it immune to geopolitical pressures affecting gold, state-controlled price manipulation, or sanctions on physical asset transfers. Countries facing sanctions might find Bitcoin easier to move than gold. I agree with sana84210’s diversification idea about holding both could balance the portfolio, with gold for stability and Bitcoin for its unique resilience in such scenarios.

[Republikcoin.com]

If the dominance of the US dollar decreases, then gold reserves will automatically increase and people from different countries will continue to invest in gold. Donald Trump's imposition of tariffs on various countries will be responsible for the decline in the dominance of the US dollar. Moreover, due to such volatile market conditions in the Bitcoin market, Bitcoin investors are becoming interested in investing in gold.

Now the price of gold is also still increasing because there are more buyers who do not hesitate to continue exchanging their money into assets such as gold. But Bitcoin investors will also not ignore Bitcoin even though the price of Bitcoin at this time still tends to be stagnant and does not increase sharply, because in a position like this every investor must have the courage to buy Bitcoin even though they may also like gold as another asset that they can rely on to seek more profit in the future.

[Kemarit]

If the dominance of the US dollar decreases, then gold reserves will automatically increase and people from different countries will continue to invest in gold. Donald Trump's imposition of tariffs on various countries will be responsible for the decline in the dominance of the US dollar. Moreover, due to such volatile market conditions in the Bitcoin market, Bitcoin investors are becoming interested in investing in gold.

Now the price of gold is also still increasing because there are more buyers who do not hesitate to continue exchanging their money into assets such as gold. But Bitcoin investors will also not ignore Bitcoin even though the price of Bitcoin at this time still tends to be stagnant and does not increase sharply, because in a position like this every investor must have the courage to buy Bitcoin even though they may also like gold as another asset that they can rely on to seek more profit in the future.

I heard that gold has reaches a new all time high, so good for them. And by that it means that investors are turning into gold as their new assets, for hedge against their wealth. Nevertheless it might not be final though, as some of them might be really traditional and so they found good as a safe haven.

But I still think that Bitcoin is the best asset for now, we've seen that we have reach $109k, and it's just a matter of time before we can reach that again. For the meantime, if there is investors that are pushing for gold, perhaps there will be sometime as well the it will be Bitcoin that is going to shine and we might see that before the end of the year as usually that is the time that we are going to get that new all time high for this bull run.

[eightdots]

If the dominance of the US dollar decreases, then gold reserves will automatically increase and people from different countries will continue to invest in gold. Donald Trump's imposition of tariffs on various countries will be responsible for the decline in the dominance of the US dollar. Moreover, due to such volatile market conditions in the Bitcoin market, Bitcoin investors are becoming interested in investing in gold.

Now the price of gold is also still increasing because there are more buyers who do not hesitate to continue exchanging their money into assets such as gold. But Bitcoin investors will also not ignore Bitcoin even though the price of Bitcoin at this time still tends to be stagnant and does not increase sharply, because in a position like this every investor must have the courage to buy Bitcoin even though they may also like gold as another asset that they can rely on to seek more profit in the future.

I heard that gold has reaches a new all time high, so good for them. And by that it means that investors are turning into gold as their new assets, for hedge against their wealth. Nevertheless it might not be final though, as some of them might be really traditional and so they found good as a safe haven.

But I still think that Bitcoin is the best asset for now, we've seen that we have reach $109k, and it's just a matter of time before we can reach that again. For the meantime, if there is investors that are pushing for gold, perhaps there will be sometime as well the it will be Bitcoin that is going to shine and we might see that before the end of the year as usually that is the time that we are going to get that new all time high for this bull run.

Gold is always preferred because it is a traditional investment tool. In some periods, when it is thought that the dominance of the dollar will be lost, the number of people investing in gold increases. People always prefer a safe haven. When there is uncertainty in investment, people do not like uncertain environments and therefore they move their money to a safer investment. The main reason for the rise in gold has always been the same and is the same now.

It is normal for the dominance of gold to increase due to both the fact that it is a traditional investment tool and the increase in uncertainty in the economy.

[Swordsoffreedom]

But I still think that Bitcoin is the best asset for now, we've seen that we have reach $109k, and it's just a matter of time before we can reach that again. For the meantime, if there is investors that are pushing for gold, perhaps there will be sometime as well the it will be Bitcoin that is going to shine and we might see that before the end of the year as usually that is the time that we are going to get that new all time high for this bull run.

Bitcoin is the best speculative asset because it has the potential to generate the greatest returns, but when it comes to assets used as a store of value or a safe haven to hedge against wealth,  gold is always the best choice .


Bitcoin will also reach ATH but that will depend on the economic situation, if the economy is unstable and falls into recession. That wouldn't be good for bitcoin or other speculative assets like stocks, they would be dumping more instead of growing.


I no longer believe in market cyclicality as the market is increasingly driven by politics and economics, so bitcoin will only be able to rise and reach new ATHs this year if the economy becomes more positive, IMO.