Bitcoin vs. Gold: Why This Trader Believes BTC Will Surge By More Than 300%

Samuel Edyme

1 year ago

3 mins read

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Seasoned trader Peter Brandt’s recent prediction has captured significant attention. Brandt, known for his crypto market insights, has forecasted a substantial rise in Bitcoin’s value compared to gold, suggesting an impending shift in investors’ asset preferences.

Bitcoin vs. Gold: A Shift In Value

Peter Brandt, particularly, projected an eye-opening scenario where Bitcoin could dramatically outpace gold. His analysis suggests that the ratio of gold ounces needed to purchase one Bitcoin could escalate to 100 within the next 12 to 18 months.

This represents roughly a 340% increase from current levels, with approximately 22 ounces of gold equating to one Bitcoin. Brandt supports his prediction with detailed chart analysis, demonstrating Bitcoin’s consistent performance advantage over gold since its inception.

Bitcoin/Gold chart on TradingView. | Source: Peter Brandt on X

This bullish outlook on Bitcoin highlights its potential as a lucrative investment and underscores its evolving role as a ‘digital gold.’ As Bitcoin gains against gold, it solidifies its stature as a formidable asset in the investment world, offering potentially higher returns than traditional safe havens.

Since its inception Bitcoin $BTC has gained against Gold. This chart shows the # oz. of $GC_F to buy one BTC. The ratio should chop for another 12 to 18 months — then advance to 100 oz of GC to buy a BTC
What say you @PeterSchiff pic.twitter.com/3G2adZV0KM

— Peter Brandt (@PeterLBrandt) May 30, 2024

BTC And Gold: Analyzing The Subtle Correlation Dynamics

Peter Brandt’s prediction is set against a backdrop of increasing interest in the correlation between Bitcoin and gold. Analysts from Kaiko have recently delved into this relationship, noting fluctuations in their price movements.

The correlation metric, a statistical measure used to gauge how closely the prices of two assets move about each other, has shown varied trends between these two assets over time.

A positive correlation means the assets move in tandem, while a negative correlation indicates opposite movements. Recent data suggests that the Bitcoin-gold correlation has experienced positive and negative phases, reflecting the complex dynamics between traditional and digital assets.

Currently, the correlation is positive but weak, with a metric value of less than 0.2, indicating that it is not strong while there is some level of synchronicity.

Bitcoin Correlation To Gold — BTC correlation with Gold. | Source: Kaiko

This nuanced understanding of Bitcoin’s relationship with gold is crucial for investors considering diversification. Assets with low correlation provide risk management and portfolio diversification benefits.

Despite increasing of late, $BTC‘s 60-day correlation with Gold is still significantly lower than its 2022 highs pic.twitter.com/ZXrzkxrtWJ

— Kaiko (@KaikoData) May 30, 2024

The evolving correlation between BTC and gold suggests that while they share certain safe-haven characteristics, they offer unique advantages and challenges as investment options.

Bitcoin (BTC) price chart on TradingView — BTC price is moving sideways on the 2-hour chart. Source: BTC/USDT on TradingView.com

Featured image created with DALL-E, chart from TradingView

Samuel Edyme

Meet Samuel Edyme, Nickname - HIM-buktu. A web3 content writer, journalist, and aspiring trader, Edyme is as versatile as they come. With a knack for words and a nose for trends, he has penned pieces for numerous industry player, including AMBCrypto, Blockchain.News, and Blockchain Reporter, among others.

Edyme’s foray into the crypto universe is nothing short of cinematic. His journey began not with a triumphant investment, but with a scam. Yes, a Ponzi scheme that used crypto as payment roped him in. Rather than retreating, he emerged wiser and more determined, channeling his experience into over three years of insightful market analysis.

Before becoming the voice of reason in the crypto space, Edyme was the quintessential crypto degen. He aped into anything that promised a quick buck, anything ape-able, learning the ropes the hard way. These hands-on experience through major market events—like the Terra Luna crash, the wave of bankruptcies in crypto firms, the notorious FTX collapse, and even CZ’s arrest—has honed his keen sense of market dynamics.

When he isn’t crafting engaging crypto content, you’ll find Edyme backtesting charts, studying both forex and synthetic indices. His dedication to mastering the art of trading is as relentless as his pursuit of the next big story. Away from his screens, he can be found in the gym, airpods in, working out and listening to his favorite artist, NF. Or maybe he’s catching some Z’s or scrolling through Elon Musk’s very own X platform—(oops, another screen activity, my bad…)

Well, being an introvert, Edyme thrives in the digital realm, preferring online interaction over offline encounters—(don’t judge, that’s just how he is built). His determination is quite unwavering to be honest, and he embodies the philosophy of continuous improvement, or “kaizen,” striving to be 1% better every day. His mantras, “God knows best” and “Everything is still on track,” reflect his resilient outlook and how he lives his life.

In a nutshell, Samuel Edyme was born efficient, driven by ambition, and perhaps a touch fierce. He’s neither artistic nor unrealistic, and certainly not chauvinistic. Think of him as Bruce Willis in a train wreck—unflappable. Edyme is like trading in your car for a jet—bold. He’s the guy who’d ask his boss for a pay cut just to prove a point—(uhhh…). He is like watching your kid take his first steps. Imagine Bill Gates struggling with rent—okay, maybe that’s a stretch, but you get the idea, yeah. Unbelievable? Yes. Inconceivable? Perhaps.

Edyme sees himself as a fairly reasonable guy, albeit a bit stubborn. Normal to you is not to him. He is not the one to take the easy road, and why would he? That’s just not the way he roll. He has these favorite lyrics from NF’s “Clouds” that resonate deeply with him: “What you think's probably unfeasible, I've done already a hundredfold.”

PS—Edyme is HIM. HIM-buktu. Him-mulation. Him-Kardashian. Himon and Pumba. He even had his DNA tested, and guess what? He’s 100% Him-alayan. Screw it, he ate the opp.

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