Bitcoin and gold are each invaluable belongings that can be utilized to guard in opposition to inflation; however, there are vital variations between the 2 by way of their historical past, accessibility, and different sources of demand.
Gold, undoubtedly, has a prolonged historical past and stable foundation, whereas Bitcoin has barely greater than a decade of existence to show its price as an inflation hedge.
In November of final yr, the worth of a single BTC soared past $65,000, setting a brand new file excessive. This enhance was associated to the introduction of a Bitcoin trade traded fund within the United States; whereas others throughout the yr had been resulting from occasions involving Tesla and Coinbase, respectively.
As of this writing, BTC is buying and selling at $$19,058.84, down 5.5% within the final seven days, information from Coingecko present, Sunday.
Michael Saylor, Source: Bloomberg
The Crypto Is So Much Better Than Gold: Saylor
Despite the truth that BTC has misplaced over 73% of its worth since its all-time excessive in 2021, crypto bull and MicroStrategy co-founder and CEO Michael Saylor is unfazed.
Not solely does he suppose the digital coin will regain its former glory, however he additionally thinks the cryptocurrency has a number of room to develop past its present excessive level.
While the worth of the most well-liked cryptocurrency on the planet has been falling in latest weeks, MicroStrategy has been shopping for the dip. With 130,000 BTCs in its vault, it’s sitting on practically $4 billion of the crypto.
“I believe that the following logical cease for Bitcoin is to exchange gold as a non-sovereign retailer of worth asset and gold is a $10 trillion asset as we communicate. Bitcoin is digital gold, it’s 100x higher than gold,” Saylor mentioned throughout the Money Festival hosted by MarketWatch on Wednesday.
Bitcoin has a market cap of round $365 billion, in keeping with information by TradingView on Sunday.
Bitcoin Will Hit $500,000 In 10 Years
And throughout the competition’s Best New Ideas section, Saylor didn’t maintain again when he predicted the crypto’s price ticket might attain $500,000 inside the subsequent decade.
“The half-life of cash in crypto is eternally. You can transfer it on billions of computer systems on the pace of sunshine. So if Bitcoin goes to the worth of the yellow steel, it’s going to $500,000 per coin, and I believe that occurs this decade,” Saylor identified.
According to MarketWatch, Saylor has round 17,732 Bitcoins that he bought for round $9,500. Meanwhile, MicroStrategy’s inventory value has fallen nearly 65% this yr, similar to Bitcoin.
BTC whole market cap at $365 billion on the every day chart | Source: TradingView.com Featured picture from Al Bawaba, chart from TradingView.com