I have USD 2000 to invest. Should I buy Bitcoins or gold?

[ajareselde]

Price of gold over time has increased insanely, and there is more and more gold each day @ the market, but also is something that everyone agrees it has value.
On the other hand you have bitcoin that is hard limited, and the mining bitcoin decreases with time, no matter how hard you try to get more, but not all people believe it has value.
As you can see, the question is; would you rather buy something that can go 10% up/down, or something that can go unlimited up/down ? There is no more profit to be made in gold, that cow is milked dry,imho.

cheers

[ranlo]

Price of gold over time has increased insanely, and there is more and more gold each day @ the market, but also is something that everyone agrees it has value.
On the other hand you have bitcoin that is hard limited, and the mining bitcoin decreases with time, no matter how hard you try to get more, but not all people believe it has value.
As you can see, the question is; would you rather buy something that can go 10% up/down, or something that can go unlimited up/down ? There is no more profit to be made in gold, that cow is milked dry,imho.

cheers

Gold has a real use, though. It's used in jewelry, in a lot of items like electronics, etc. I think assuming it won't go back up is a little naive. As long as it has a tangible use in our everyday lives, I think it still has a shot. There's only a finite amount of it, just like with bitcoins. Supply has to go down at some point.

[deisik]

Price of gold over time has increased insanely, and there is more and more gold each day @ the market, but also is something that everyone agrees it has value.
On the other hand you have bitcoin that is hard limited, and the mining bitcoin decreases with time, no matter how hard you try to get more, but not all people believe it has value.
As you can see, the question is; would you rather buy something that can go 10% up/down, or something that can go unlimited up/down ? There is no more profit to be made in gold, that cow is milked dry,imho.

Don't confuse paper gold with physical gold. The gold you make reference to is mostly gold futures contracts, among which the majority are cash-settled futures, that is, futures that cannot be settled by delivery of physical gold. The speculation of such futures significantly affects the price of gold, but only as long as exchanges trading in them are able to fulfill their obligations put by the physically settled gold futures...

[gentlemand]

Gold has a real use, though. It's used in jewelry, in a lot of items like electronics, etc. I think assuming it won't go back up is a little naive. As long as it has a tangible use in our everyday lives, I think it still has a shot. There's only a finite amount of it, just like with bitcoins. Supply has to go down at some point.

Yup, but only a tiny fraction of the current value relates to its actual use. The rest is parking of value and speculation. It's far too entrenched in history to become an irrelevance in financial terms but it might be weakened slightly by alternatives.

[SirChiko]

To me bitcoin seems as way more safe investment than gold

[stonerider]

Gold is a proven commodity, can't beat it as a storage of value. Bitcoin has a short history with violent up and down swings in value. At this time, I would take bitcoins over gold. Bitcoin has a huge upside potential this year; Gold has a huge downside potential this year. While I see no inverse relationship between bitcoins and gold, the way things are going, bitcoin price will definitely rise and gold price will fall.

[deisik]

Gold is a proven commodity, can't beat it as a storage of value. Bitcoin has a short history with violent up and down swings in value. At this time, I would take bitcoins over gold. Bitcoin has a huge upside potential this year; Gold has a huge downside potential this year. While I see no inverse relationship between bitcoins and gold, the way things are going, bitcoin price will definitely rise and gold price will fall.

I'm singularly curious as to the reason behind your prediction about future gold prices. The gold market price, as any other market price out there, is dictated by a supply and demand mechanism. So, what are the grounds for gold huge downside potential this year that you mention of? A fall in demand or a rise in supply?

What is your pick?

[afbitcoins]

A year ago I'd say buy gold. Now that bitcoin has more or less corrected from the last bubble, I'd go bitcoin.

ps Silver can go a lot higher than $50 an ounce as upside, dollars today have much less value than those 1980 ones.

[mrhelpful]

Why not just buy $1,000 worth of gold, then do $1,000 worth of bitcoin, and which one grows faster lol.

But since you split 50/50 you can see which one scales in profit? so you wont lose entire $1,000 if bitcoin ever did crash cause you got gold to back you up.

I only say this because NO ONE can read the future.

[rich93]

Why not just buy $1,000 worth of gold, then do $1,000 worth of bitcoin, and which one grows faster lol.

But since you split 50/50 you can see which one scales in profit? so you wont lose entire $1,000 if bitcoin ever did crash cause you got gold to back you up.

I only say this because NO ONE can read the future.

That makes sense, if you lose on one the gains from the other might cover it.

[uki]

@OP: if it is play money then definitely BTC. Much better risk reward ratio at these current prices than gold. Do you also consider keeping $ as a third (best) option?

[Hfleer]

@OP: if it is play money then definitely BTC. Much better risk reward ratio at these current prices than gold. Do you also consider keeping $ as a third (best) option?

his investment universe seems pretty slim if his only 2 choices are bitcoin and gold

[Q7]

Depends on what you are looking for. Bitcoin is known for high volatility and if you are a short term investor looking for quick gain, bitcoin can easily net you 10 to 20 percent in a matter of hours. If you are a long term investor either bitcoin or gold would be fine as there's a future in it. Just diversify your holding. It doesn't have to be all gold or all bitcoin. Spread out the risk.

[Chef Ramsay]

Why not just buy $1,000 worth of gold, then do $1,000 worth of bitcoin, and which one grows faster lol.

But since you split 50/50 you can see which one scales in profit? so you wont lose entire $1,000 if bitcoin ever did crash cause you got gold to back you up.

I only say this because NO ONE can read the future.

It'd be very hard to buy exactly $1000 of gold as the increments it comes in are usually oz, half, quarter, tenth and gram so you'd have to mix and match to get in to your target amount in dollars. Plus, dealers usually hit you with heavy premiums, like $50 per oz. I'd prefer all in bitcoin unless you want something shiny to look at.

[Melbustus]

...can hold upto 1 year

Uh, if your timeframe is <=1yr, neither of those makes much sense. Gold is a long-term hedge against a fiat collapse that somehow results in at least some of the world regressing to a gold-standard, and bitcoin is long-term bet on a new inflation-hedge digital-money asset-class plus growth of a new censorship-resistant global payment network (plus some probability that in a fiat-collapse people would find bitcoin more useful than other alternatives (like gold-backing a new fiat)).

It makes almost no sense to think about either on sub-year timescales.

[Hfleer]

...can hold upto 1 year

Uh, if your timeframe is <=1yr, neither of those makes much sense. Gold is a long-term hedge against a fiat collapse that somehow results in at least some of the world regressing to a gold-standard, and bitcoin is long-term bet on a new inflation-hedge digital-money asset-class plus growth of a new censorship-resistant global payment network (plus some probability that in a fiat-collapse people would find bitcoin more useful than other alternatives (like gold-backing a new fiat)).

It makes almost no sense to think about either on sub-year timescales.

The problem in the crypto scene is that most people here are novel investors and have no idea what timeframes are normal.

No sane investor would do a buy&hold strategy into stocks, if they need the money within 6 or so months. In bitcoin that is the daily business...

[galbros]

Have some fun, split your investment half and half.  See how you like having some of each.  Gold is fun to look at and has been around forever, bitcoin is really fun and easy to use.

Good Luck!

[dance4gold]

Herd and greed mentality are the main cause for investment losses.
Go the opposite! Buy in when there's blood on the streets. You will need Big Balls!! 

[deisik]

Herd and greed mentality are the main cause for investment losses.
Go the opposite! Buy in when there's blood on the streets. You will need Big Balls!! 

This will be yet another way to lose money (and most likely one of the quickest). What you suggest is trying to catch a falling knife. It is a fools game which ultimately culminates in your account getting wiped out. It may make you feel like a super trader, or even a hero of sorts ("buy in when there's blood on the streets"), but in reality it is the first step towards your bankruptcy...

[Vhawk23]

The first thing come out of my mind is... Gold
But, it's up to you, even Bitcoins is a risky investment...
But hey... Are there any risk free investment?

The answer is No
So, it's all up to you, but my suggestion is gold