Gold Precious Metal Sales Outpaced Bitcoin All Through the Month of October
When it comes it investing in alt-assets, it appears as though Gold still remains the go to choice for a host of investors. According to statistical data released by Bloomberg yesterday, it appears as though the precious metal has fared better than Bitcoin in terms of its overall sales all through the month of October— a 30-day span that saw BTC experience an extremely high-level of volatility.
In terms of how investors usually make their long-term investment decisions, they usually look at how a particular asset has performed historically during times of economic uncertainty. In this regard, October has seen a lot of market instability (across the board), with conventional stock options also being subjected to intense intra-day swings.
If that wasn't enough, it is also worth noting that the S&P 500 index, which is tracked by the SPDR S&P 500 exchange-traded fund, was found to have lost more than 8% of its value (last month).
More On The Matter
In the midst of all these falling stock prices, gold continued to gain traction, with the precious metal trading at a highly respectable price point of $1,189 for a troy ounce (during the first week of October). Over the same time period, Bitcoin lost a lot of its intrinsic value, with the premier digital asset dropping from around $6,600 to just under $6,300— thus showcasing a monthly value loss of around 4%.
Owing to BTC’s poor market showing many investors and analysts have been proclaiming that “gold is a superior long term asset than Bitcoin” — a claim that almost seems laughable and outright biased to a large degree.
“Bitcoin Lacks The Option Of Diversification”
Another issue that many so-called market experts claim to have with Bitcoin is that the asset does not offer a high level of diversification. As a result of this, the currency always ends up experiencing extreme price swings within short periods of time. In this regard, Gold has continued to remain steady amidst a host of bearish external factors.
With everything said and done, it should be noted that the aforementioned sales figures only represent the performance of Bitcoin and Gold for a period of 30 days. If history has taught us anything, it is that Bitcoin does not play by the rules laid out for conventional stock options. So, it wouldn't be anything out of the ordinary if the asset suddenly surges in the coming few days, thus leaving Gold in the dust.