Investors are rapidly dumping gold for Bitcoin, Bloomberg analyst says
Prominent Bloomberg expert Mike McGlone has shared data suggesting that investors are rapidly choosing to purchase Bitcoin over gold. McGlone disclosed on Twitter that Bitcoin is becoming the preferred store of value.
According to him, while the yellow metal will remain an excellent choice for jewelry and coin collections, Bitcoin is displacing it as an inflation hedge.
McGlone used a chart to support his claims. He shared a screenshot of a chart that showed that since 2017, more and more investors were turning to Bitcoin as a possible store of value. Comparatively, the total trading volume of Bitcoin exceeds that of gold.
McGlone’s claims may not be far from the truth. Several other prominent investors, analysts, and developers have hyped Bitcoin above gold. Michael Saylor, CEO of MicroStrategy, while explaining his company’s decision to invest in Bitcoin said that Gold’s ROI was not as compelling as Bitcoin. Fortunately, the company’s gamble is so far paying off.
Meanwhile, after reaching an all-time high of over $2,000 in August 2020, the price of gold has continued to drop. Bitcoin, on the other hand, has been rising. Although Bitcoin has also slumped from its all-time high of over $58,000, it has managed to stay close to the $50,000 region.