• About Us
  • Privacy Policy
  • Contact Us
CryptoInfonet
  • News
  • Bitcoin
  • Ethereum
  • Blockchain
  • Altcoin
  • Regulation
No Result
View All Result
  • News
  • Bitcoin
  • Ethereum
  • Blockchain
  • Altcoin
  • Regulation
No Result
View All Result
CryptoInfonet
No Result
View All Result
Home Cryptocurrency

GOLD/BTC ratio falls to an all-time low

February 18, 2021
in Cryptocurrency
0
$2 billion Ethereum NFT sector finds a way to legacy bank BNP Paribas
Discover This New Unique Trading Pattern This Powerful Tool Spots Over And Over Again With Precision Accuracy. You Could Double Or Triple Your Account This Year With These Signals!
Click here
to sign up


The yellow metal has now fallen to its lowest-ever value against Bitcoin, the digital gold, in terms of the ratio.

What just happened?

Simply put, the “Gold/Bitcoin” ratio calculates the price value of the yellow metal against Bitcoin. A 1:1 ratio means both gold and Bitcoin are valued at the same price by the open market, while a ratio of 2:1 would mean the market values one asset (say, gold) at twice the prices of Bitcoin.

What’s happened in the past months is the complete opposite. Bitcoin moved from the $5,000 price level in mid-April to over the $52,000 level yesterday—a 10x increase since that time and more than a 2.5x increase since its previous all-time high of $20,000 in December 2017.

In the same period, gold moved from the $1,600 price level to the current $1,800 price level (while temporarily reaching a previous high of $2,000 in August 2020). As the below chart shows, the metal is now in a downtrend, trading below its 34-period moving average while forming lower highs and lower lows.

Gold is falling. Image: Gold/USD via TradingView.

Such a move brought the GOLD/BTC ratio lower and lower, meaning if one were to bet against gold in the past year—they would have ended up with a lot of BTC. Data also shows that it has reached the lowest possible level ever (the downtrend started back in September).

#Bitcoin is eating Gold in one chart! Gold/Bitcoin ratio hit fresh All-Time low. pic.twitter.com/faWhyzYkQD

— Holger Zschaepitz (@Schuldensuehner) February 17, 2021

Choosing Bitcoin over gold

Michael Saylor, the CEO of business analytics software maker MicroStrategy, claimed on Twitter that their historic move into Bitcoin in August was around the time that gold “peaked” out. “Gold peaked in August 2020 at the same time MicroStrategy chose #Bitcoin as the superior asset,” Saylor said in a tweet.

MicroStrategy made headlines at the time after announcing it purchased over $350 million worth of Bitcoin—a move meant as a hedge against a falling economy and to seek superior returns from a global asset.

The firm has since purchased more than a billion dollars worth of Bitcoin over separate instances. And it is not done yet: This week saw MicroStrategy offer a mammoth $900 million convertible bond offering to institutional investors interested in BTC investments.

Some crypto-focused investment funds saw that such moves are only beginning, especially as an alternative to gold.

“We are reaching the world-historical epochal levels now where multi-B trend-following CTA funds who rule the CME will be buying $BTC / selling gold on max size,” said Su Zhu, the founder of Singapore-based Three Arrows Capital, in a tweet today.

We are reaching the world-historical epochal levels now where multi-B trendfollowing CTA funds who rule the CME will be buying $BTC / selling gold on max size

Respect the trend

— Su Zhu (@zhusu) February 18, 2021

Gold still has its own legion of loyal supporters, however.

Like what you see? Subscribe for daily updates.



Forex Trading can be risky, to cut the risk. Sign up to FX Delta for consistent results. The Best Forex trading signals for an average of 8% gains. Click here to sign up.



Source link

Tags: AllTimeFallsGOLDBTCratio
Share76Tweet47

Related Posts

$2 billion Ethereum NFT sector finds a way to legacy bank BNP Paribas

Binance Coin (BNB) erupts above $270 as the whole Smart Chain ecosystem soars

by CryptoInfoNet
February 19, 2021
0

Tokens from the Binance Chain ecosystem are surging today, led by Binance Coin’s (BNB) own example—which broke above $270...

Uniswap’s (UNI) trading volume exceeds $100 billion

Almost 72% of all ADA is now staked on Cardano

by CryptoInfoNet
February 17, 2021
0

Almost 72% of all ADA is now staked on Cardano | CryptoSlate Earn up to 12% APY on Bitcoin,...

Other DeFi-focused networks are surging as Ethereum congestion narrative spurs up

Why Ethereum is stagnating behind Bitcoin after its rally to new record-high

by CryptoInfoNet
February 15, 2021
0

The price of Ethereum is declining against both Bitcoin and the U.S. dollar. This comes as the dominant cryptocurrency...

Other DeFi-focused networks are surging as Ethereum congestion narrative spurs up

Other DeFi-focused networks are surging as Ethereum congestion narrative spurs up

by CryptoInfoNet
February 11, 2021
0

Ethereum has been facing extreme network congestion once again, which has been made worse by the cryptocurrency’s rapidly increasing...

Secret message reveals ‘rarest masks’ in DeFi NFT project Hashmasks

Investors bullish on Ethereum ahead of much-hyped CME futures launch

by CryptoInfoNet
February 8, 2021
0

The day is finally here—today, depends on how you cut it, the CME Group will be launching a futures...

Load More

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms & Conditions and Privacy Policy.

We have all the latest updated and legitimate information related to Blockchain, Cryptocurrency, latest market rates & trends, prices, new regulations along with every other thing that somehow related to crypto or digital currency market. Our main idea is to provide the kind of news that is original and at the same time, it can prove to be beneficial for our audience.

Categories

  • Altcoin
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • Ethereum
  • Litecoin
  • Market
  • Regulation

Archives

  • February 2021
  • January 2021
  • About Us
  • Privacy Policy
  • Contact Us

© 2021 cryptoinfonet.com

No Result
View All Result
  • News
  • Bitcoin
  • Ethereum
  • Blockchain
  • Altcoin
  • Regulation

© 2020 cryptoinfonet.com

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
Go to mobile version