a week ago
Many will call it a coincidence, but when one has seen such patterns over the course of the last several years then it becomes a trend that one begins to anticipate. Just take a look at the Trump and North Korea rhetoric as a more recent example.
The bitcoin price went up after the news was released of the military air strikes against Syria. Even if this was a mere coincidence which it could have been, it does begin to highlight the idea that bitcoin could be one of the best hedges yet against economic and political turmoil.
During such action do you think the Russians and Chinese are going to stick their money in gold which is something that can be manipulated or bitcoin?
I think the true test to really ascertain if bitcoin is really becoming the new digital gold is to see by how much gold and bitcoin increased during the build up to the military strike in Syria and then by how much did they both increase once the military action in Syria was announced by the media.
The answer is that bitcoin outperformed gold on both accounts. On this basis how can one even suggest that gold is a better hedge or a more efficient safe haven than bitcoin during current times. I accept gold has been a better safe haven during historical periods, that is unquestionable. I think going forwards something really exciting is happening which means that bitcoin is merely attempting to become digital gold v 2.0.
a week ago
Causality with bitcoin price movements is problematic as it has been so extremely volatile though there has been comment on bitcoins association with safe haven status in the past, I posted this link back in November;
The 30 min spike during the week had the hallmark of a large buyer pushing price past resistance and then algos and other traders piling in briefly whereas mounting concern of an international situation develops over hours and days as more and more people seek to hedge.
US, China and Russia are 3 of the top 6 holders of gold, they already have that hedge, imagine what would happen to the price of both if they decided to switch their holdings from one to the other in the future, those astronomic predictions for bitcoin would be dwarfed.