Gold's scarcity is why it is valuable. Otherwise it is just a shinny rock. Don't over think it, the value of gold is based on nothing but perception.
If this is the case then why is it chosen to be used in industry?
The answer - it has unique properties that other metal do not.
Bitcoin is just code that can be copied and even improved. Gold is an element and will always remain the same.
I have approx £450k in precious metals and sleep well at night. If I had that amount of money in crypto I would crapping myself encase I get hacked, a wallet service got hacked, a weakness in the code is discovered, an exchange gets hacked at the time of cash out, the price drops 90% overnight, new regulation is introduced crippling cryptos.
The only reason bitcoin is valuable is the perception by probably 95% of people that it will moon and make them rich. They dont give a shit about the tech and only view it in dollar equivalents. When bitcoin price eventually stabilizes most people will lose interest in it when the realization hits that they are not going to become overnight millionaires.
While gold has some special chemical/electrical properties, the price of gold is not because of these properties. Iron is far more useful than gold, for example. The properties that make gold valuable are scarcity and the inability to profitably counterfeit it.
As far as why other people are into bitcoin... That's their business and they are free to make any decisions they want, even dumb ones.
For me bitcoin is doing just fine. It is the only money I have used on the internet for years. I could care less about getting rich. I pay my taxes and enjoy my life. Oh and I also hold a fair amount of gold. Because gold is awesome, no matter why.
