Bitcoin is Acting as an Alternative to Gold Says JP Morgan Analysts
The strong influx of institutional investors into Grayscale Investment Bitcoin products shows that the coin now acts as an alternative to gold. While there was a spike, investment in gold ETF slowed down in the background of comments that Bitcoin is the best inflation trade.
Gold and Bitcoin are safe havens at the time of economic crisis. Gold has been trusted by investors for ages. However, they are physical and clunky with infinite supply. On the reverse side, Bitcoin is digital and fluid. Increasingly, funds and deep-pocketed investors are flocking into the coin as a shield against expected inflation. The result has been a shrinkage in gold ETF investment while similar products offered by crypto investment funds like Grayscale Investment have been exploding.
Impact on the BTC Price:
Bullish. The more investors view BTC as an alternative to gold, the more supported prices are. That JP Morgan analysts have noticed the shift and the shrinking investment in gold ETF is overly net bullish for Bitcoin prices.
More market updates on ourBlog
This website is not directed at any jurisdiction and is not intended for any use that would be contrary to local law or regulation.
CryptoAltum does not accept any clients under the age of 18.