Cryptocurrency

Bitcoin dissolves Gold – BTC has lost its Status as a “safe haven”?

Bitcoin is now fallen through key support levels, pulling the entire crypto-market, as usual, with down. Gold rises, however, more – is BTC still a safe haven?
The crypto-markets have spent in the last 24 hours over $15 billion, since the correction accelerates. The downward movement was expected after such a long period of good profits largely, and there is no reason for panic or FUD.
The market capitalization has dropped back to $ 260 billion, which is 10% lower than at the beginning of the week. The volatility is still a major aspect of the crypto-markets.
Bitcoin is now broken through the major support levels at $9.300 together, as he reached during the early trading in Asia at $9.100 his all-time low.
This movement has accelerated the losses that began nearly two weeks ago and so far led to a 13% withdrawal – what’s in it for BTC, nothing out of the ordinary.
The Coin holds currently this level of support, wherein the lower value is about $8.800. Including there is nothing what could prevent a crash on 8.300 Dollar, where stronger support is located. An upward movement at the Moment is very unlikely.

Gold still bullish

The Charts suggest the precious metal reached this week a new seven-year high of $1.670/oz, which means a total increase of 10% this year – for a non volatile asset impressive.
With the Bitcoin decline, some have started to set its Status as “digital Gold” in question, since it decouples from the precious metal.
Of course, the notorious Bitcoin had to Basher and Goldfan Peter Schiff to interfere – even though BTC has exceeded in Gold this year by 16%. It seems that these Tweets would be posted only to trolls in the crypto-Community.

“It should be the Bitcoin Fans and the CNBC moderators clear that Bitcoin is a digital risk, no digital Gold.”

Gold has increased in the last few weeks and continues to build on a bullish Momentum. However, it cannot be denied that both shares as well as digital assets have this year achieved a superior level of Performance – even when considering the recent losses are factored in.
Bitcoin is highly speculative, so it is obvious that the prices will plummet and volatility will remain high when the world sinks into utter Chaos.
Because whole cities are cordoned off, will reflect values, less people on the Trading with digital assets, and the market capitalization is only a fraction of the market capitalisation, which has Gold anyway.
Gold has always been a favorite for institutional investors, who generally prefer more stability in your Trading.
This does not mean that BTC is a safe haven, but only that BTC doesn’t need to win the dynamics of more established plants, if the markets are in complete excitement.

About the author

Eve Manning

A native Texan, Eve first started out as a Finance Analyst and later realized that her true passion was not in trading but in writing. She leverages her experience in the Finance industry to analyse and write in-depth news articles covering the Cryptocurrencies, Economy & Finance industries.

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