Sunday, July 30, 2023

An Investment Choice Between Bitcoin, Gold And The USD



Bitcoin is showing a negative correlation to the USD.

Bitcoin, Crypto's correlation to gold is more nuanced. But Bitcoin, cryptocurrencies usually exhibit negative correlation to gold, since gold is considered a safe heaven asset, while Bitcoin, cryptocurrencies are considered a risky asset, similar to small capitalization technology stocks.

The Federal Reserve and the European Central Bank raising rates, however, changes many things.

Still, a strategy of equally weighted sums in Bitcoin, USD and gold could prove a useful investing strategy.

Bitcoin is slowly proving, at least partly a safe heaven asset, that is slowly taking market share from the USD.

Respectively, crypto's future looks bright.

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