Financial giant Bernstein has developed an interesting new analysis concerning BTC and gold. The leading financial entity has concluded that Bitcoin is slowly evolving and can replace gold as a trusted hedge asset over the next ten years.
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Bitcoin Gold Connect: The Inevitable Evolution?
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Bernstein Analyst Gautam Chhugani, in the latest note shared on Thursday, stated how Bitcoin may replace gold as an effective hedge asset in the near future. The expert later noted how Bitcoin has started to emerge as a new store of value that will “eventually” be replacing gold as the next hedge asset.
“We expect Bitcoin to emerge as the new-age premier ‘store of value’ asset, eventually replacing Gold over the next decade, and becoming a permanent part of institutional multi-asset allocation and a standard for corporate treasury management,” as stated by Chhugani.
In addition to this, another notable analyst, Gil Luria, shared how Bitcoin may play a bigger role in the US economy.
“Bitcoin’s main current application as a store of value—an appreciating, low-correlation asset that replaces gold as a hedge against a decline in economic stability.” Luria shared
The news comes in synchronization with Bitcoin’s meteoric price hike to $100K. The king of cryptocurrencies managed to beat the odds and has surged beyond the $100K price mark to claim a new ATH of $103K. However, the token has mellowed its pace, trading at $97K at press time. The token has managed to surge 141% year to date and is still going strong, fueled by the recent US regime change, as president-elect and crypto supporter Donald Trump gears up to assume the next presidential stint.
The president-elect, Donald Trump, had already promised to build a Bitcoin reserve to bolster the domain up a notch. If this development materializes, Bitcoin could become an integral part of the US economic segment, ultimately beating Gold to claim the top spot.
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Jerome Powell Compares Bitcoin to Gold
Apart from Bernstein, another notable financial figure, Jerome Powell was recently documented making comments about BTC and gold. The head of the Federal Reserve in a recent interview was noted comparing the BTC with Gold, clarifying how Bitcoin is similar to gold in anatomical structure and not the US dollar.
“People use Bitcoin as a speculative asset. It’s like gold and it’s virtual. It’s digital. People are not using it as a form of payment or as a store of value. It’s highly volatile and It’s not a competitor for the dollar. It’s really a competitor for gold.”
Bitcoin Year-End Price Forecast
BTC is currently grabbing the central spotlight from across the board as the token continues to ace new highs. Bitcoin is poised to hit another price high. It is inching to hit a new price spot of $112K by the end of 2024.
“According to our current BTC price prediction, the price of BTC is predicted to rise by 14.64% and reach $ 112,277 by January 5, 2025. Per our technical indicators, the current sentiment is Bullish while the Fear & Greed Index is showing 72 (Greed). BTC recorded 19/30 (63%) green days with 8.34% price volatility over the last 30 days. Based on the Bitcoin forecast, it’s now a good time to buy BTC.”
