Over the years, Bitcoin has grown to become one of the biggest names in the crypto industry, growing in market capitalisation, popularity and acceptance all-over the world. And that growth doesn’t seem to be slowing down any time soon, especially during this global pandemic era where we have seen high rate of inflation, increased money printing and a stagnant global economy.
These list of events have led to a shift in narrative on how big coperations, banks, and cooperate organizations all-over the world see Bitcoin. With a lot of them already taking baby steps to diversify their risk and invest a portion of their portfolio into Bitcoin and other crypto assets.
Is Gold A Better Asset?
While Gold is regarded as a safe haven where investors run to during crisis or a failing economy, it is important to note that Bitcoin has more growth potential and diversification from the economy than Gold. And that can be clearly seen in the correlation chart below.
While Gold continued to track the U.S economy closely, Bitcoin on the other hand began to decouple from both the U.S economy and Gold, performing better and providing investors a better asset to diversify their risk with.
This rise in the Bitcoin value has led to a massive influx of investment into the cryptocurrency market as fund managers and cooperate organizations continue to look for the best ways to hedge against inflation and the U.S economy during this pandemic.
How Is Cooperate Investments Affecting Price?
The influx of cooperate money into the Bitcoin market has led to a huge shortage in available Bitcoin and a massive price surge, pushing the Bitcoin price up from $10k to $19k in less than 6 months.
This parabolic move has made Bitcoin a more costly asset to own and the cryptocurrency will only get more expensive as time goes on and more organizations, individuals and government bodies begin to embrace the digital currency as the way for the future and the perfect alternative to the fiat currency and the failing banking system.
We also created a video below where we talked more in-depth about this current development in the Bitcoin market as well as pointing out key fundamentals driving the market and what it means for the Bitcoin price in the coming weeks.
To gain more information on how to partake in this coming Bitcoin Bull run and trade this cryptocurrency, you can read my How To Trade Bitcoin Guide. You can also check my top list of Best Bitcoin Exchanges To Trade With