Since Bitcoin had lost its value last year, many speculators and traders are trying to find out the reason behind the fluctuation and such a steep fall in the value of the crypto market. People are trying to find a definition which can be applied to the worldwide crypto market and which can define term and utility of cryptocurrency, especially Bitcoin.
While the worldwide pondering over the market has not come up with any solid result or conclusions, a discussion over Bitcoin’s importance as the most effective alternative of gold is increasing. Its digital Store of Value (SoV) is said to go beyond traditional boundaries.
But, still, a fanatic group of gold loving people recently published a report on BTC, and why it is failing to project itself as an alternative to gold.
As per the World Gold Council, BTC is a long way from being a digital store of value. The report published by this group states that securities exchanges have encountered their worst quarter since 2009. Cryptocurrencies which were at once been looked at as a strong alternative to traditional assets have performed even worse the than the conventional stock market and securities.
Afterward, the council brought it to the notice that Bitcoin’s value activity made their investigators consider technology stocks, referring to the 0.69 positive connections between Nasdaq and BTC. This connection has provoked the group to reach their conclusion that investors, particularly those acquiring Bitcoin to protect their assets portfolios, should reassess their objectives behind putting resources into crypto assets/money.
The group is supporting gold over crypto assets, also said that the period during which the bitcoin fell (last year end), was the time when an absolute market pressure occurred since the financial crisis almost a decade ago. This is provoking the group to state that the whole argument over digital gold is baseless.
And, it appears that Bitcoin investors and experts have effectively witnessed this trend. As per the survey conducted by Gabor Gurbacs (on Twitter), BTC holders are racing to buy gold. However, many crypto experts beg to differ.
During a recent “ask me anything” session on Reddit, the Winklevoss Twins, revealed their digital currency investment theories. Tyler said that his and his brother’s research thesis on Bitcoin’s upside is still the same; regardless of the present bearish trend. They also noted that Bitcoin is better at being gold (than gold itself). Many experts in this space back this statement.
Even a well known anti-establishment commentator named Max Keiser presented his opinions on the argument. He said in his Twitter post that Bitcoin is a shared electronic gold network, which will consider online payments, as opposed to a hardcore electronic cash ecosystem.