Has gold lost its shine? The last 20 years would certainly show gold as an asset that’s just grown over time but 2021 is a different story. Gold is down by 9% while other classes including real estate, equities and the dollar have risen. What’s surprising is that the dollar value generally moves in tandem with precious metals, but even the greenback has grown by 3% this year.
During a recession, the typical course of action would be to use gold as a hedge against stock market volatility. However, a newer approach is challenging this tried-and-true safe haven strategy, which has proven to be effective in previous instances. Bitcoin, which was introduced in 2009, marked the beginning of a new era in the history of digital currencies. With many exchanges like CoinSwitch Kuber simplifying crypto, Bitcoin has gained tremendous traction among retail investors.
As the dominant cryptocurrency, bitcoin possesses many of the characteristics of a general currency, as well as some distinct characteristics that may make it a viable shelter. However, it is up to the individual investor to decide if bitcoin is an appropriate safe haven during times of market turmoil.
With gold moving sideways and cryptocurrencies seeing a massive resurgence over the last two years, we’re drawing a case...
Read Full Story: https://economictimes.indiatimes.com/markets/cryptocurrency/bitcoin-or-gold-which-is-the-future-of-investments/articleshow/85858417.cms
Your content is great. However, if any of the content contained herein violates any rights of yours, including those of copyright, please contact us immediately by e-mail at media[@]kissrpr.com.