Bitcoin Latest Markets
ByAuthor J.D. SmithPosted on
82
0

Bitcoin buys more gold than ever, with one ounce now costing under 0.035 BTC

BY
img-ads

Bitcoin (BTC) is now worth more in gold than at any time in its history as the largest cryptocurrency passes $50,000.

Data noted by markets commentator Holger Zschaepitz on Wednesday confirms that one ounce of gold now buys just 0.0352 BTC.

XAU/BTC plumbs new depths

Since hitting new all-time highs on Wednesday, the price of gold in Bitcoin terms became even cheaper, with one ounce costing $1,794, or 0.0349 BTC, at the time of writing.

“Bitcoin is eating gold in one chart!” Zschaepitz declared in comments.

Gold priced in Bitcoin. Source: Holger Zschaepitz/Twitter/Bloomberg

Responding, analytics account Ecoinometrics added that gold’s underperformance versus Bitcoin simply increases if longer time frames are taken into account.

Bitcoin’s one-year risk-adjusted returns topped 270%, compared with 24% for gold, as of Dec. 28, 2020. Four-year returns contain an even starker contrast, with 2,675% versus 64% for Bitcoin and gold, respectively. 

“When looking at Bitcoin vs. gold don’t zoom out too much or gold will turn into the horizontal axis,” Ecoinometrics commented, presenting accompanying charts.

Bitcoin vs. gold risk-adjust returns comparison. Source: Ecoinometrics/Twitter

Schiff holds out against a deluge of Bitcoin gains

Despite the figures, gold bugs continue to pit Bitcoin against the precious metal and predict disastrous consequences for those holding BTC as the correlation between the two assets has noticeably decreased since September 2020. 

Bitcoin rolling 90-day correlation vs. Gold, VIX, USD and S&P 500. Source: Digital Assets Data

Among them is Peter Schiff, who in his latest Twitter spat with proponents — including his son, Bitcoin hodler Spencer Schiff — maintained that BTC/USD is destined to go to zero.

When asked whether the process would take thousands of years or longer by Bitcoin Foundation founder Charlie Shrem, Schiff replied that it should be a lot sooner.

“Serious answer — I doubt it will take anywhere near that long,” he claimed.

“But there may still be a bid in #Bitcoin for years after it collapses to near zero so who knows how many more it will take before that bid disappears completely.”

A $1 million Bitcoin, he added, was “highly unlikely.”

Spencer subsequently reminded him of a prediction he made in June 2020 in which Schiff claimed that Bitcoin was “highly unlikely” to hit $50,000.

img-ads

Leave a Comment

Your email address will not be published.

You may also like

Bitcoin Policy & Regulation
ByAuthor J.D. SmithPosted on
9
0

Congress worries crypto used to fund domestic terrorism, Capitol insurrection

BY

A U.S. Congress subcommittee is investigating if domestic extremists are turning to cryptocurrency as a source of funds for their activities.

On Feb. 25, the Subcommittee on National Security, International Development, and Monetary Policy will hold a hearing titled “Dollars Against Democracy: Domestic Terrorist Financing in the Aftermath of Insurrection.” A committee memorandum ahead of the hearing stated that “as scrutiny by traditional banks and payment platforms increases, extremists are turning to solicitations of cryptocurrencies.”

The memorandum lumps cryptocurrencies with other potential avenues for illicit activity financing including crowdfunding, charities, and social media platforms. Two main incidents are used to suggest crypto may have helped fund the Capitol insurrection.

Specifically, on Dec. 8 a French extremist who committed suicide sent 28.15 BTC (worth $522,000 at the time of transfer) to 22 addresses with many belonging to known far-right activists and internet personalities.

More than $250,000 of the BTC…

View More Article
Bitcoin Latest Markets Tech
ByAuthor J.D. SmithPosted on
7
0

Indian banks put crypto traders’ accounts under the microscope

BY

Cryptocurrency traders and investors in India are among the latest casualties in an increasing trend of personal account closures by global banking operations. 

India’s parliament is currently contemplating a nation-wide crypto ban which local industry critics, such as former Coinbase CTO Balaji Srinivasan have compared to “banning the internet for five years.”

The Economic Times reports that customers of private banks in India, such as HDFC, HSBC and Citi, have been receiving notices this year asking them to clarify crypto-related transactions, often requiring them to visit their local bank branch in person. If such clarification is not received, accounts are at risk of being suspended or seized. One letter to an affected customer states:

“To comply with the regulatory guidelines, banks are advised to exercise due diligence by closely examining the transactions carried out in the account on an ongoing basis to…

View More Article
Bitcoin Blockchain Markets Opinion Tech
ByAuthor J.D. SmithPosted on
11
0

Solana (SOL), Cosmos (ATOM) buck the trend to hit new highs after protocol upgrades

BY

Bitcoin’s (BTC) sharp correction below $45,000 sent shockwaves throughout the entire market for a second day and many altcoins are fighting to hold the gains they’ve accrued since the start of the year. 

Two exceptions to the current downturn are Solana (SOL) and Cosmos (ATOM), which have both managed to experience minor price breakouts following recent bullish developments for each project.

Data from Cointelegraph Markets and TradingView shows that SOL and ATOM saw initial price dips in the early trading hours of trading on Feb. 23 but both were able to quickly bounce back and outperform the wider market for the day.

Solana receives a boost from DeFi integrations

Solana price broke out on Feb. 22 when Raydium, the first automated market maker (AMM) for the Solana blockchain, was launched. The AMM platform enables faster trades, shared liquidity and new ways for token holders…

View More Article
Bitcoin Blockchain Markets
ByAuthor J.D. SmithPosted on
24
0

Altcoins nurse double-digit losses as Bitcoin bulls fight to retake $49K

BY

Another wave of selling pressure hit the cryptocurrency market on Feb. 23 as Bitcoin struggles to reclaim the $49,000 level.

Data from Cointelegraph Markets and TradingView shows that Bitcoin fell under intense pressure in the early trading hours on Tuesday and this pushed the price of BTC as low as $44,927 before buyers arrived to stop the descent.

The majority of altcoins and DeFi tokens are now even deeper into their double-digit losses and Bitcoin (BTC) price has dropped by more than $10,000 in the past 48 hours. 

BTC/USDT 4-hour chart. Source: TradingView

At the time of writing, BTC is trading at a price of $48,600, which reflects a 11% decrease for the day, but according to Cointelegraph analyst Marcel Pechman, pro traders have looked to buy the dip and opened new leveraged long positions.

Today’s market downturn has overshadowed several positive developments…

View More Article
Bitcoin Tech
ByAuthor J.D. SmithPosted on
25
0

Square doubles down on Bitcoin, investing another $170M

BY

Financial services outfit Square just announced it has picked up more Bitcoin (BTC). 

Square “has purchased approximately 3,318 bitcoins at an aggregate purchase price of $170 million,” the company said in a public statement on Tuesday, adding:

“Combined with Square’s previous purchase of $50 million in bitcoin, this represents approximately five percent of Square’s total cash, cash equivalents and marketable securities as of December 31, 2020.”

Bitcoin has fallen significantly this week so far, dropping below the $50,000 mark after tapping a record high past $58,000, based on TradingView.com data. Based on the $170 million sum Square swapped for about 3,318 BTC, the outfit looks to have paid an average of $51,235 per coin on its new investment.

“Aligned with the company’s purpose, Square believes that cryptocurrency is an instrument of economic empowerment, providing a way for individuals to participate in a global…

View More Article
Bitcoin Blockchain Tech
ByAuthor J.D. SmithPosted on
25
0

Bitcoin mining likely didn’t contribute to Texas’ power outages, says expert

BY

Though many Texans are still suffering in the aftermath of a winter storm that left millions without power and running water for days, it’s unlikely that the crypto mining farms in the state played much of a role during the crisis.

Speaking to Cointelegraph, Kristy-Leigh Minehan, a mining consultant and chief technology officer of NEM Software, said Texas doesn’t currently have enough mining hardware in operation to cause significant problems in the power grid when compared with that of major regions like Sichuan.

According to Minehan, German Bitcoin (BTC) mining operator Northern Data is likely the only one that could have had a significant impact on the state’s power supply. The firm owns a mining farm in East Texas, with others like HODL Ranch and Layer1 out in West Texas. The mining expert added that the hashrate in Texas is not enough to disrupt the state’s energy grid, which includes…

View More Article
%d bloggers like this: