By Nermeen Nabil Khear 
The post Gold Hits Record $3,004, Can Bitcoin Follow Suit or Will It Continue to Struggle? appeared first on Coinpedia Fintech News
On Friday, gold broke past $3,000 for the first time this year as Gold prices hit a record high of $3,004 per ounce, driven by rising global tensions, inflation worries, and an increasing demand for safe investments. With this it has set a new all-time high for the 13th time and its market value has now surpassed $20 trillion. This has sparked questions about whether Bitcoin called “digital gold,” could see a similar rise.
Bitcoin Drops Significantly
On the contrary, Bitcoin has followed a different trend as its value has dropped significantly due to the ongoing pressures from macroeconomic conditions. Bitcoin is currently trading 23.3% below its all-time high, with a 14.5% drop over the last month. At the time of writing, BTC is trading at $83,446, up 1% in the past 24 hours.
Analysts Remain Hopeful
However, despite Bitcoin’s recent struggles, analysts believe that it could follow a path similar to gold’s historic rise. In a recent X post, an analyst compared the launch of the Gold ETFs in November 2004 to Bitcoin’s ETF launch in January 2024. He suggested that Bitcoin’s price could follow a similar pattern to gold.
Notably, the launch of the Gold ETF made it easier for both institutional and retail investors to gain exposure to gold. Over time, gold experienced significant price growth, with periods of highs and corrections, but maintained a long-term upward trend.
According to the analysis, Bitcoin seems to be following a similar path. If this trend continues, BTC could see steady long-term growth, with its ETF acting as a key driver for institutional adoption and continued price increases.
Another market analyst shared a similar view, pointing out that both gold and Bitcoin are following a five-step parabolic model. He believes that Bitcoin could soon see a big breakout, similar to gold’s past performance. He predicts that Bitcoin has already moved past its “fakeout” phase and is on track for a new all-time high. His predicts that a surge to $150,000 is on the way.
Concerning Trends Emerge
Not all experts are optimistic. Market analyst Northstar pointed out a concerning trend in the gold/Bitcoin ratio, saying Bitcoin has been underperforming gold for the past four years, the longest time ever. He warned that gold’s recent rise is not just about its price going up—it signals a shift in investments, which could lead to a big drop in stocks, including the NASDAQ, which Bitcoin usually tracks.
Financial analyst Charlie Morris also raised concerns, noting that while gold-backed funds are seeing more investment, Bitcoin ETFs are losing value. Morris had recently shared that in the last 30 days, gold ETFs have seen $10 billion in inflows, while Bitcoin ETFs have experienced $5 billion in outflows. He suggests that eventually, these trends will reverse, as they often do.
With Bitcoin currently priced around $80,000, the coming months will be crucial in deciding if it can match gold’s growth or keep underperforming.
The post Gold Hits Record $3,004, Can Bitcoin Follow Suit or Will It Continue to Struggle? appeared first on Coinpedia Fintech News
On Friday, gold broke past $3,000 for the first time this year as Gold prices hit a record high of $3,004 per ounce, driven by rising global tensions, inflation worries, and an increasing demand for safe investments. With this it has set a new all-time high for the 13th time and its market value has …
This articles is written by : Nermeen Nabil Khear Abdelmalak
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