Cryptocurrency
Bitcoin Is a Better Hedge Against USD Than Gold
Cointelegraph reports, “Enjoying a stronger negative correlation with the U.S. dollar than gold, Bitcoin may start to present a more attractive alternative to both in the eyes of the investors. “Since Black Thursday, Bitcoin (BTC) has become a better hedge against the U.S. dollar than gold. At the same time, its correlation with the S&P […]
Cointelegraph reports, “Enjoying a stronger negative correlation with the U.S. dollar than gold, Bitcoin may start to present a more attractive alternative to both in the eyes of the investors.
“Since Black Thursday, Bitcoin (BTC) has become a better hedge against the U.S. dollar than gold. At the same time, its correlation with the S&P 500 Index reached unprecedented highs.
Correlations chart. Source: Coinmetrics.
“Since the disintegration of the Bretton Woods system in 1971, investors have looked to gold as a hedge against fiat. Gold has consistently exhibited a negative correlation with the dollar with some very rare exceptions, while Bitcoin and the dollar have been uncorrelated with each other until recently…”