Gold is “Headed for the Moon,” What Does it Mean for Bitcoin as a Store of Value Asset?

Which has become highly correlated (about .8) with Gold.

  • Gold is at its all-time highs in 73 countries
  • The yellow metal is “going to go nuts” all thanks to money printing, QE, & interest rate cuts
  • This would be “great for BTC,” further help in determining if it is becoming a true macro vehicle

Gold prices are hovering near $1,500 per ounce on Monday as the US-China trade war drags on and fears of a global economic slowdown increases.

As we start the week, spot gold is steady at $1,496 per ounce while US gold futures have been flat at $1,508 an ounce.

Gold is at its all-time highs in 73 countries

Bill Murphy, Chairman of the Gold Anti-Trust Action Committee (GATA) is very bullish on gold as he points out that yellow metal is at its “all-time highs in 73 different countries.”

In Canada, gold is $100 higher than its previous ATH and US dollars’ gold high is around $1,900 per ounce, and he says that level is gonna break out and start heading for $3,000.

After hitting multi-year highs, the yellow metal is still firmly in positive territory with strong fundamentals behind gold. While the price is edging lower, it’s just a correction needed before moving higher.

“Gold and silver are just going to go nuts because there is no room on the downside in a lot of these markets,” predicts Murphy.

“if they don’t keep printing the money and going to QE and keep interest rates low, it’s going to cause chaos. All I can say is I think gold and silver are headed for the moon,” he added.

On the Weekend, Goldman Sachs cut down its fourth-quarter forecast for US growth as it said recession risks were increasing due to the US-China trade war.

While US President Donald Trump said he’s not ready to make a deal with China, White House trade adviser Peter Navarro said they are still planning to hold another round of trade talks with Chinese negotiators.

What about Bitcoin?

During the first week of August, just like gold, Bitcoin enjoyed an uptrend as well, going from around $10,000 to above $12,300.

However, since then we have dropped to $11,350 on Monday, with 24 hours loss of 0.70% while managing the daily trading volume of just $616 million. However, Bitcoin’s recent surge showed that the flagship cryptocurrency is moved by macro events.

The fact that “the correlation between Gold and BTC currently is about .8,” as noted by trader Cantering Clark means, if gold is going to go nuts, the leading cryptocurrency can enjoy a spike in price as well.

Clark further points out, “the move up in Gold is likely just starting as it is an indication of the current climate, ultimately this would be great for BTC.”

This would also help in determining if Bitcoin is becoming a true macro vehicle, and remains “more aligned as a risk-off asset.”

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

AnTy
AnTy
AnTy has been involved in the crypto space full-time for over two years now. Before her blockchain beginnings, she worked with the NGO, Doctor Without Borders as a fundraiser and since then exploring, reading, and creating for different industry segments.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

1 COMMENT

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,468FansLike
2,795FollowersFollow
4,232FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Second Half of 3-Yr Bull Market: Ether’s Crazy Run has 90% of its Supply in Profit

This past weekend, the price of Ether went past $400 to as high as about $420, a level last seen in July 2018. This...

Teenage Mastermind Behind the Twitter Hack Owns $3.39 Million in Bitcoin (300 BTC); Bail Set At $725k

The 17-year old Twitter-hack mastermind holds over $3 million in BTC value with only $725,000 set for bail. In a bizarre moment last month, Twitter...

Bitcoin (BTC) Jumped to $100,000 on Binance Futures

There have been several predictions that see Bitcoin hitting a six-digit figure. On Sunday, this became a reality, very briefly, thanks to an algorithm. Bitcoin...

Flash Crash Caused Serious Network Congestion for ETH, ETC, And ERC 20 Tokens on Coinbase

On August 1, the Ethereum's blockchain faced a spike in network transaction fees, causing a backlog in transfers across several exchanges. Coinbase and Binance,...

Bitcoin’s Wild Weekend Reminiscent of 2017 Bull Rally, ‘Higher Highs Ahead in 2020'

This past weekend, bitcoin had a rough time as the largest cryptocurrency made its way past $12,000 to $12,112 in trading just after midnight...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today