- November 7, 2023
- Posted by: [email protected]
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Over the weekend, the trading volume of Bitcoin surged past the $10 billion mark, underscoring the cryptocurrency’s continued robust activity in the market. On Sunday, Bitcoin experienced a modest gain of almost 1.50%, pushing its price to $35,228.
This upward trajectory in Bitcoin’s value is accompanied by enthusiastic endorsements from key figures in the finance world. Jurrien Timmer, Fidelity’s Director of Global Macro, compared Bitcoin to “exponential gold,” emphasizing its role as a commodity with the potential to serve as a hedge against monetary devaluation and a store of wealth. Timmer drew parallels with historical periods, such as the 1970s and 2000s, when real rates were negative, inflation was rampant, and the money supply was growing unsustainably. During such times, gold often shone, but it was primarily used as a store of wealth, not a medium of exchange. Bitcoin shares this characteristic with gold, according to Timmer, making it a potential digital store of value.
Robert Kiyosaki, renowned author of “Rich Dad, Poor Dad,” endorsed Bitcoin as a source of long-term financial security. He emphasized the importance of holding tangible assets like Bitcoin, silver, and gold to achieve financial independence and stability. According to Kiyosaki, the wealthy prioritize assets such as real estate, oil, and food production that generate tax-free income, steering clear of traditional employment and assets susceptible to market volatility, inflation, and taxation. Kiyosaki’s support for Bitcoin as a source of financial stability has contributed to the positive sentiment surrounding the cryptocurrency.
Despite these favorable endorsements for Bitcoin, central banks worldwide continue to add to their gold reserves. The third quarter of 2023 saw central banks acquire 337 metric tonnes of gold, pushing the annual total to an impressive 800 metric tonnes. This persistent interest in gold signals the enduring demand for the precious metal and the potential for a strong year-end total in 2023.
In the face of growing concerns about the global economy, gold has risen by 9.4% in the past month, while bitcoin has surged by 25%. As central banks reduce their gold demand in Q3, some speculate that it may be time for Bitcoin to take center stage, contributing to the rising BTC prices.
Amid this financial landscape, Bitcoin has maintained its prominence, with minor fluctuations over the past 24 hours. The cryptocurrency’s current price is approximately $35,120, with key support and resistance levels on the four-hour chart. Immediate resistance is observed at around $35,360, while the pivot point stands at approximately $34,990. A breakthrough above this level could target the next resistance levels around $36,051 and potentially $37,018. On the flip side, immediate support hovers around $34,693, with additional cushions at $33,281 and $32,481 in case bearish momentum intensifies.
In this battle for investment supremacy, Bitcoin continues to demonstrate its resilience and potential, supported by endorsements from industry leaders like Fidelity and Robert Kiyosaki, while gold maintains its solid demand from central banks. The coming months will be pivotal in determining which asset class emerges as the preferred choice for investors seeking stability and potential returns.
