Topic: Bitcoin Expected to Trade Similar to Gold or Treasury Bonds in the Future, Predi (Read 124 times)

The Bitcoin market might only have one or two cycles more before it truly matures, and becomes a "boring market" like Gold or the Brent Oil market. I can't say that it will absolutely happen in one or two cycles, but just like your observation, it becomes a higher probability after each cycle. BUT, I believe there's also some probability that the next bull cycle might be the same as 2015 - 2017, when the Federal Reserve returns to QE/BRRR-Money-Printing.

Individual statements cannot be relied upon because individuals change their convictions according to circumstances. An expert who does not have any investment in Bitcoin will not make any difference to him if the price rises or collapses.
Does that *senior macro strategist* have investment in bitcoin or have any investment related to them?

If so, then he benefits from making such statements, and if he does not have it, then it is a personal point of view.
Institutional opinions are the most important, and more importantly, your belief in the importance of POW.

For investors, no one wants that to happen, and that's also why we invest in bitcoin more than gold. The higher the volatility, the more profitable, and I really hope bitcoin will always hold this factor. But it is difficult to say what will happen in the future, and as we have also seen, the volatility of bitcoin is gradually shrinking. The returns in recent years have started to be smaller than in previous years as bitcoin has gotten bigger, but in return, it has become safer than it was in years past.

But when more investors from legacy markets enter Bitcoin, when Bitcoin becomes more mainstream, and when Bitcoin speculators become wiser investors, then with high probability the Bitcoin market will become more efficient. We could see two more cycles of high volatility and market inefficiency before Bitcoin moves like Gold or high-value stocks. Although, I also believe that Bitcoin would have a six digit valuation before that happens.

I don't think Bitcoin will ever be that boring though. Because it is far more useful than Gold. Gold is for old timers and banks/govts, and banks/govts don't do anything with it they just store it in vaults. Whereas Gold was a pre-modern currency, Bitcoin is a post-modern currency, it's the currency for the digital age, so unless something one day comes out that is somehow much better than Bitcoin it won't be replaced the way Gold was naturally replaced once humanity moved from money as metal to paper to digital.

Also technology allows us to keep finding more gold. Most of the gold that has ever been mined has been mined the past 100 years. And Gold keeps a pretty consistent annual inflation ratio of about 1.5% because that is just where the economics of the value versus the cost of Gold mining have stabilized. Whereas Bitcoin has a transparent supply cap and by 2032 99% of all the Bitcoin will have been mined.

So as far as price appreciation goes, the supply side of Bitcoin is far superior to Gold. There will be a continuous supply crunch of Bitcoin the likes of which Gold has never seen. Gold inflation is stable at 1.5% and it isn't getting any more useful, while Bitcoin inflation is quickly dropping to zero and Bitcoin will only become far far more useful in the future. The 12 months after the 2020 halving Bitcoin inflation was about 1.78%, after the 2024 halving inflation will be about 0.83%, after the 2032 halving inflation will be just under 0.2%, after the 2044 halving it'll be under 0.025% so in just over 20 years inflation of Bitcoin will be very nearly zero with only 0.1% of the Bitcoin supply left to be mined over the following almost 100 years. Bitcoin growth will naturally slow down and volatility will fall but it'll never be boring the way Gold and Bonds are.

I think it's possibly could happen because more and more the governments want to control everything including Bitcoin, if they're force all of their citizens must to use their own exchange and wallet, they can control the exchange by set a time where anyone can trade their coins. People also using Bitcoin as a commodity, most people not willing to use it as a currency because many stores in their country not accept it.

It will kill the Bitcoin's original purpose, but that's will push a Bitcoin adoption because people feel safe.

Putting it in citation format gets you off the hook for plagiarism, but you could have put a link to the source.

Bitcoin will trade like gold or treasury bonds in the future, Bloomberg strategist predicts


I agree. What I think the expert is referring to is that volatility will be reduced in the future, as it usually is. Normally the first years of a company or financial asset are more volatile, and when it matures volatility is reduced, becoming more 'boring' as you say. It is not always going to be like the early years.

But I think there is still a long way to go, a couple of cycles at least, I would say.

But gold and treasury bonds are boring as fuck. If bitcoin trades like these assets then it is volatility will go down and that means bitcoin may stay flat for years. See the gold price chart it is disgusting. It is barely above 2000 bucks and it was already at $1800 in 2013. 10 damn years lost on this if you bought this in 2013. I don’t want bitcoin to be like gold tbh. I don’t want bitcoin to be a boring boomer asset.

According to the senior macro strategist at Bloomberg Intelligence, the bitcoin network is presently at its most secure state. As per the predictions made by McGlone, in the long haul, the cryptocurrency will trade akin to gold or Treasury bonds.

Numerous strategists seem to be pro-Bitcoin these days, which undoubtedly bodes well for us. It appears that Bitcoin is poised to attain impressive peaks in the near future. HODL! That's the only word worth saying at this moment, for it is certain that Bitcoin will soar to unimaginable heights.

McGlone's prediction provides us with a comforting assurance that Bitcoin will inevitably achieve a status within the community where it will be traded on the same level as gold - a truly astonishing statement, to say the least!