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Bitcoin Outpaces Gold Post-Election as Investors Flock to Crypto

Bitcoin Outpaces Gold Post-Election as Investors Flock to Crypto

CryptodnesCryptodnes2024/11/07 23:11
By:Cryptodnes

Following the results of the U.S. presidential election, there has been a noticeable shift in investment preferences, with Bitcoin gaining ground over gold.

The BTC-Gold ratio saw a sharp 12% increase on November 6, the day after Donald Trump’s victory, marking Bitcoin’s most significant gain against gold since February 2022, as per TradingView data.

This rise in Bitcoin’s value highlights a growing trend of capital flowing from traditional safe-haven assets like gold toward the digital currency. Analysts are now predicting that Bitcoin could reach up to $80,000 by year-end, fueled by recent upward momentum and a decline in gold’s appeal.

The shift is largely driven by macroeconomic factors, including currency depreciation and the expectation of more crypto-friendly policies under the Trump administration. According to Noelle Acheson, author of Crypto Is Macro Now, the reversal of the gold market’s downtrend that began in March marks a critical moment for Bitcoin. She adds that global investors are taking note of the changing dynamics, and Bitcoin’s continued growth seems promising.

READ MORE:
Tether Injects Almost $2 Billion in the Crypto Market

The transition signals the end of gold’s dominance, as more investors move towards BTC, particularly with the potential for a Bitcoin reserve under the Trump administration and anticipated higher interest rates that could weigh down gold’s attractiveness.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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