Topic: Which investment is a safe haven Gold or Bitcoin? - page 2. (Read 1001 times)
It depends on what kind of place you are residing and what kind of knowledge do you have. as for me, I will 100% choose bitcoin when I find myself need to choose between those two. because I know exactly how to safely store bitcoin in a safe and secure place. From time to time I am changing my address, it means, I don't reside in a certain place for too long because of my job. so the best investment for me is Bitcoin no matter how you see it. Some people will rather choose gold even though the kind of situation like mine because they also have enough knowledge on how to keep it safe.
Bitcoin and gold have many similarities, but their differences are also significant. Until we decide what exactly we want to compare, we are not able to clearly state what is better. As a payment method in the current digital world, Bitcoin is definitely a better option. Despite this advantage over gold, product prices are still converted into fiat currency. This does not change the fact that in the future it may be easier to buy something quickly for bitcoins than for gold coins.
The most famous cryptocurrency is primarily speculative. Frequent price changes allow you to earn more on trading, but it is also easier to lose money. When trading Bitcoin, you definitely need to adopt a different investment strategy. It should be remembered that due to the fact that trading it lasts for 24 hours, anything can happen. Each investor must decide for himself what to invest better on the basis of risk-to-profit calculation.
Bitcoin has greater price volatility compared to gold. For this reason, it is physical precious metal that is considered a safe haven in times of crisis. The method of storage of both assets is diametrically different and for this reason it is not possible to say which is better. Whether it is better to have physical gold or digital bitcoins depends on many factors. The best solution then is to diversify and own both goods. Bitcoin and gold do not have to be mutually exclusive, on the contrary - they can complement each other.
The most famous cryptocurrency is primarily speculative. Frequent price changes allow you to earn more on trading, but it is also easier to lose money. When trading Bitcoin, you definitely need to adopt a different investment strategy. It should be remembered that due to the fact that trading it lasts for 24 hours, anything can happen. Each investor must decide for himself what to invest better on the basis of risk-to-profit calculation.
Bitcoin has greater price volatility compared to gold. For this reason, it is physical precious metal that is considered a safe haven in times of crisis. The method of storage of both assets is diametrically different and for this reason it is not possible to say which is better. Whether it is better to have physical gold or digital bitcoins depends on many factors. The best solution then is to diversify and own both goods. Bitcoin and gold do not have to be mutually exclusive, on the contrary - they can complement each other.
Anything can be a safe haven for anyone if you want it to be. But I am not going to argue this, we all already know that Gold is the main safe haven and not Bitcoin. But that doesn't mean that you cannot make use of Bitcoin for that same purpose. If you invest in Bitcoin for a long term then your plan is to use it as a safe haven and it's sure likely to work. There are times when it's disappointing and there are also times when it doesn't, and it just grows above the price you have bought your cryptocurrency. Like if you check the chart, the lowest price for every year grows as it goes.
I actually have a feeling that gold is more safe than bitcoin. Bitcoin is really volatile than I even thought. It fell months ago. And months later (today) it's price is way higher. It's just complicated; in and out.
BTW; I've seen this particular topic on this forum. We're advised to search if topics exist before posting them.
It is volatile but in the long run it continues to go up, especially if you compare the days it held above a certain price each year.
Let's ignore the tops for a moment and focus on the average price since Bitcoin was created. You'll see that the only point in Bitcoin's history where you could lose money is bwtween December 2017 and January 2018. In Bitcoin's 10 year long career there were only 2 months where the price overshot completely. It's pretty good if you ask me.
To be honest, Gold is a better investment than Bitcoin. Bitcoin investment is not for everyone, but Gold is a universal asset, anybody can invest their money on Gold! Bitcoin is too volatile for investment, it can go to 100K USD, or it can go to 1000$, both have the possibility! But Bitcoin investment would be better profitable for the risk-takers, but gold is slow and lower in profit!
Gold is lot more safer, less risk and less profitable, Gold has been in existence for so long, from where I come from, women buy gold to preserve their money, it is a safe heaven for most of them, when things are rough, they sell their gold to get ahead,
Btc on the other hand is full of risk and also can be very profitable, this is limited to those who understand crypto, if you can take the risk, then btc will be your best choice, if not, Gold is much safer and can do long term without any worry.
Btc on the other hand is full of risk and also can be very profitable, this is limited to those who understand crypto, if you can take the risk, then btc will be your best choice, if not, Gold is much safer and can do long term without any worry.
Traditionally, gold is a "safe haven" investment. This is particularly evident in the various economic crises that have occurred around the world, where investors would retreat to gold, such as the case in the '00-'01 recession and 2008 GFC. However, it also depends on which markets are affected, as well as the economy you find yourself in due to the different effects your currency has on the price of gold versus the USD/GBP/EUR/AUD/JPY etc.
Investors flock to gold in times of incredulous downward volatility because it's quite static. Instead of losing money in the stock market during perilous time, gold entices by offering stability with it's relative static price movements. Although even gold isn't the only "safe haven" investment, and some would argue there are less risky alternatives such as government bonds. Other investors instead seek to capitalise on these movements rather than merely storing value, such as hedging by going long on the VIX or volatility index.
Volatility and value storage isn't the only benefit gold has over Bitcoin, other positives include more liquidity, established base value and the fact that Bitcoin only has 2% of the market cap gold does.
That is not to say Bitcoin isn't a great asset, but it really depends on what you want out of your investment. Bitcoin is extremely speculative and has higher risks than most other financial instruments, but it may also yield a higher reward, as is evident in some of Bitcoin's movements having more than double the volatility of gold, it depends on what, when and why.
If you're looking to preserve your wealth in the short-term, gold, government bonds and cash is the way to go. If you want to increase your wealth with little risk, combine the previous assets with stock ETFs when things look brighter. If, after all that, you have leftover funds and already factored in emergency savings, a small bet on Bitcoin may be well worth it for your future.
Investors flock to gold in times of incredulous downward volatility because it's quite static. Instead of losing money in the stock market during perilous time, gold entices by offering stability with it's relative static price movements. Although even gold isn't the only "safe haven" investment, and some would argue there are less risky alternatives such as government bonds. Other investors instead seek to capitalise on these movements rather than merely storing value, such as hedging by going long on the VIX or volatility index.
Volatility and value storage isn't the only benefit gold has over Bitcoin, other positives include more liquidity, established base value and the fact that Bitcoin only has 2% of the market cap gold does.
That is not to say Bitcoin isn't a great asset, but it really depends on what you want out of your investment. Bitcoin is extremely speculative and has higher risks than most other financial instruments, but it may also yield a higher reward, as is evident in some of Bitcoin's movements having more than double the volatility of gold, it depends on what, when and why.
If you're looking to preserve your wealth in the short-term, gold, government bonds and cash is the way to go. If you want to increase your wealth with little risk, combine the previous assets with stock ETFs when things look brighter. If, after all that, you have leftover funds and already factored in emergency savings, a small bet on Bitcoin may be well worth it for your future.
I chose gold as a safe haven because indeed the price of gold had no effect on this plague, it did not go down but instead rose a few percents. while Bitcoin has gone down and up several times during this epidemic
OP, I think you should LOCK this topic because this topic is already very stale
OP, I think you should LOCK this topic because this topic is already very stale
They both are. We just have to decide what are we trying to save ourselves from. If you want to hedge against traditional markets gold is a bit better because it tends to hold its value better but if you're looking for something that will allow you to transact during a crisis, Bitcoin should be your first choice. Gold is very hard to spend and while it's still hard to find stores that sell stuff for BTC, finding ones that will sell for gold is almost impossible.
People often forget that Bitcoin's properties were designed to allow users to hide and secure their money against malicious third parties, so Bitcoin is indeed a hedge against third scenario's like wars or dictatorships. But the thing is, they are relatively rare and not everyone is going to flee their country just because it's at war. So, for most people on the planet those feature aren't as useful as something like being a hedge against economy, since economic disasters are more common.
I actually have a feeling that gold is more safe than bitcoin. Bitcoin is really volatile than I even thought. It fell months ago. And months later (today) it's price is way higher. It's just complicated; in and out.
BTW; I've seen this particular topic on this forum. We're advised to search if topics exist before posting them.
Because of what happened to Bitcoin especially in the coronavirus financial market sell-off, seems like its purpose as store of value is not confirmed yet; because of its extreme volatility as were the prices going down. But maybe sooner we might see some improvement like it will be acknowledge around the world.
I guess gold is much safer. But I don't understand why Bitcoin and gold are constantly compared? I don't see any resemblance.
Satoshi Nakamoto used the term 'gold' twice in the whitepaper to describe the currency at the protocol level.
In addition, it has many of the same inflation/supply characteristics as gold. And gold has been used as a form of money for centuries.
I guess gold is much safer. But I don't understand why Bitcoin and gold are constantly compared? I don't see any resemblance.
People consider both an investment so they compare. Gold has always been safer since its regulated but BTC had put itself above because it's also valuable and investors make money out of it. At this time though, BTC is the much preferred. I guess there is time for each to be safe haven when bear market comes, investors may find Gold to be safe haven as well.
Gold is heavy, physical, difficult to move from one place to the other. The so-called Physical Supply Chain is what makes Bitcoin " better".
As you can keep your bitcoin easily with you in whatever quantity you want. In times of disruption, you can move anywhere in the world with your whole capital. Although gold has value as a precious metal, I do believe that Bitcoin outperforms Gold as a safe haven. But if you look at building a portfolio I believe diversifying is key and both gold and bitcoin are good to have in there.
Covered it in today's video (also previous videos) https://youtu.be/e2_L7YHS-bU Explaining Gold vs. Bitcoin
As you can keep your bitcoin easily with you in whatever quantity you want. In times of disruption, you can move anywhere in the world with your whole capital. Although gold has value as a precious metal, I do believe that Bitcoin outperforms Gold as a safe haven. But if you look at building a portfolio I believe diversifying is key and both gold and bitcoin are good to have in there.
Covered it in today's video (also previous videos) https://youtu.be/e2_L7YHS-bU Explaining Gold vs. Bitcoin
Bitcoin is profitable if we have a gots to wait for a very long time, it also needs a great patience in order for us to earn, so if we dont have patience we better choose gold because gold is not really high on volatility compaired to bitcoin so if we wanted to have a safe investment we need to choose gold for good.
To be honest, I am confused about this now.
Gold is a great investment, to be honest most of the investors are recommending this as an investment, a must-have investment, as they say, it. Bitcoin on the other hand, despite the volatility of it, through the years, a lot of people told me they had a good profit while holding it. Gold and Bitcoin gave good profits for the people and I think despite Gold not being as volatile as Bitcoin, I think there is no such thing as a safe-haven.
Gold is a great investment, to be honest most of the investors are recommending this as an investment, a must-have investment, as they say, it. Bitcoin on the other hand, despite the volatility of it, through the years, a lot of people told me they had a good profit while holding it. Gold and Bitcoin gave good profits for the people and I think despite Gold not being as volatile as Bitcoin, I think there is no such thing as a safe-haven.
Gold and bitcoin is a valuable investment! So why choose on those two when you can diversify your asset and invest on both? Bitcoin is a roller coaster ride while Gold is a steady and good for long term investment. Investing on those two are really good since you can maximize your earning while minimizing the risk of losing your money. Remember that always diversify your asset to get the greatest outcome of your investment. Don't go all in, in one market.
I would do that, but the question here is what is the safe-haven investment.
I would be stupid if I will just be running one machine if I can run two, right? That would make the work faster and double the profit I can have. But since we are talking about a safe-haven, my answer is still not that good. Gold is great but I watched a video in the past where they talked about Bitcoin being a safe-haven and obviously, they compare it with Gold. This "renowned economist" said that even gold with its long time is still risky, how much more is Bitcoin with a shorter time in the market.
https://cointelegraph.com/news/is-bitcoin-a-safe-haven-for-your-money
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Not many people will agree with you on this choice of bitcoin. Am one of them. Bitcoin has great potential to overtake gold but that will be when mass adoption is achieved for bitcoin. Until then bitcoin will continue to remain with certainty and nobody likes to invest where he or she is not sure of the investment.When compared with the adoption and existence of gold, bitcoin is not that good. Moreover, the volatility is very high, the opportunity to get price increases is indeed fast, so is the bad situation when prices fall quickly, cryptocurrency is full of surprises.
Investing in gold and bitcoin is equally risky if we cannot adapt well in both ecosystems. The risk of loss is always there if we do not manage its security properly. Although I am very interested in bitcoin as an investment, but I prefer gold to secure assets, more stable. So I choose to split it 50:50.
For now the safest digital era is bitcoin because no one is regulating bitcoin transactions. If anyone is talking about digital gold This is really true deception and it will not be long to disappear. If for a longer future physical gold is the original currency.
Investing in both assets are good due to their supply and demand across the markets that they are traded on. I think it depends on who the investor is really. If he/she is into stocks then I guess he might prefer investing into gold as a commodity but if it's a crypto investor then your guess will be right as mine, bitcoin it is.
I agree with the above, whichever is better really depends on your position in crypto vs stock market. As it stands at the moment the stock market is taking a bigger plunge than the crypto market but unlike crypto the stock market doesn't usually suffer of frequent fluctuations or at least not as much as crypto. Both are good investments. Gold is still the most popular while BTC is still growing. Though, if I were you and had a lot to invest I'd go with both, otherwise with whichever market you hold dearest
Choosing between Gold and bitcoin as a safe haven for finances depends on each individual, to make things clear both bitcoin and gold have a fixed amount (gold has a fixed amount in the universe).
Gold mines are found and there is no limit for the amount of gold left to mine and you can correlate to the coins which are not limited in circulation, yearly around 3000 tonnes of gold are added to the total supply and it is not a small quantity considering the price.In conclusion, safe haven depends on each individual, if you want to play safe, you can invest half and half of your funds on both these safe haven, it minimizes the risk but the returns are a so and so.
The idea of safe heaven depends upon the amount of risk one is able to take, gold is a proved asset for centuries as a safe heaven but with bitcoin you cannot call it a safe heaven until proven, investors who are optimistic might considers bitcoin as a safe heaven, if all depends upon your entry point and how long you are planning to hold. Jump to: