Gold Price Rises Strongly as Bitcoin Value Shows Bullish Momentum

A lot of things are happening in the world of finance which seemingly go by unnoticed. One of the biggest developments this week is how the price of gold – per troy ounce – has skyrocketed over the past few days. Finding the exact reason for this sudden spark of interest is rather difficult, albeit it is not entirely surprising given the current financial turmoil plaguing big parts of the world.

Gold Price Shows Signs of a Bitcoin Surge

It is quite uncanny to see how all of the financial markets around the world are seemingly correlated to one another. The price of gold and the Bitcoin price have both shown serious bullish signs in very recent times. While that might be shrugged off as a coincidence by a lot of people, it seems to be a sign of what is yet to come. The financial sector is under a lot of pressure and a fair few wealthy individuals are diversifying before things get out of hand even further.

As can be seen when looking at the gold price charts, a very interesting value has been reached this week. By nearly touching the $1,400 level for the first time in over a year, the demand for bullion is seemingly skyrocketing once again. Such spikes are not entirely new, as they tend to occur on quite a regular basis

The previous time such a massive price spike occurred, the price of gold surpassed $1,800 in very quick succession. It never remained at the level for very long, however, as the value collapsed to the low $1,100 range in the years after. Only time will tell whether or not history will repeat itself in this regard. For now, the momentum looks rather similar, but that doesn’t mean the same scenario will play out.

Related Post

Finding the exact reason for this surprising surge is a bit more difficult than one would think. It would appear Asian investors, as well as central banks, are massively buying gold. This is in line with how both China and Russia have steadily increased their gold supply over the past few decades. In the United States, the actual gold supply has dwindled over the years, which always puts an interesting spin on trends like these.

Additionally, society finds itself at an interesting albeit worrisome crossroads. Overall global economic growth is stagnating and even showing signs of a reversal. Additionally, there is the geopolitical uncertainty in the US, China, and other regions. All of those developments will have global financial repercussions, either sooner or later. The current status quo as people know it may cease to exist in the years ahead.

Scarcity will always be a driving factor where the gold price is concerned. Speculators hope the same will apply to Bitcoin, as it is effectively more scarce than gold by quite a margin. For now, it seems both gold and Bitcoin enjoy an upward spell of momentum, although one never knows when that uptick will come crashing down again.

JP Buntinx

JP Buntinx is a FinTech and Bitcoin enthusiast living in Belgium. His passion for finance and technology made him one of the world's leading freelance Bitcoin writers, and he aims to achieve the same level of respect in the FinTech sector.

Published by
JP Buntinx

Recent Posts

A Guide to Authentication Methods (Infographic)

Stolen passwords and weak passwords are responsible for over 80% of security breaches in 2018,…

3 weeks ago

How To Boost FPS and Reduce Input Lag in Fortnite

One of the most common questions I get is how I can optimize FPS in…

4 weeks ago

Insane! Science Backed Method To Train Your Mouse Aim For FPS Games

If you are looking to improve your aim for your favorite competitive FPS title, chances…

1 month ago

Find Fortnite Clan – A Directory of Top Fortnite Clans

Are you looking for a Fortnite clan or team to join? Chances the answer is…

1 month ago

Find Valorant Clans and List Your Own Team for Free

Now that Valorant has been out for quite some time, the players that are looking…

2 months ago

The Lonliness Economy

Chronic loneliness can shorten lifespan by as much as 20 years - more than alcoholism…

2 months ago

This website uses cookies.