Bitcoin (BTC) hit the price of seven ounces of gold for the first time in more than a year this weekas the precious metal hits its all-time highs.
CoinGecko data showed this BTC / XAU returned to the 7-ounce mark on October 25 and continued to hit the 7.02-ounce mark.
Gold in BTC is at its lowest level in a year
Although Bitcoin is losing ground after a $ 14,000 challenge, Gains on gold held Thursday when the traditional safe haven felt the pressure of the tensions in the coronavirus and the uncertainty of the US elections.
The last time BTC / XAU broke 7 ounces was in September 2019.
The quantum analyst comments on the latest events Plan B, the creator of the Bitcoin family of stock-to-flow pricing models, called the move “significant”.
“”It looks like #Bitcoin is gaining a bigger share of the gold market cap“answered the data monitor Ecoinometrics On twitter.
“Currently #BTC is 2.4% the size of the gold market. This is just the beginning. “
BTC / XAU 1 year chart. Source: CoinGecko
The sentiment reflected recent comments from Real Vision’s CEO. Raoul Pal, Who said that Gold “collapsed” against Bitcoin and other macro assets would follow suit.
“”The next thing I hope for is that the correlations between BTC and the dollar and BTC vs. Stocks break too... we’ll see, “he wrote last week.
Bitcoin is “the biggest bubble I’ve ever seen”
In response to the latest price action, the lively gold enthusiast Peter Schiff did not hold back. Though BTC / USD stayed away from its all-time highs of USD 20,000 in a recent fall Twitter postSchiff described the largest cryptocurrency as a “bubble”.
“When you measure the size of asset bubbles by the belief that buyers have in their trades, The #bitcoin bubble is the biggest I’ve seen“, he claimed.
“Bitcoin holders are more confident that they are right and cannot lose during these bubbles than dotcom or homebuyers.”
Bitcoin still has to suffer from renewed uncertainty in the global economy. This has led to a surge in claims that the correlation with traditional assets has almost disappeared.
As Cointelegrap reportedThat is, the correlation between BTC / USD and the SP 500 hit zero again this week as Bitcoin was left alone on its recent gains.
“It couldn’t have less correlation than it does now,” summed up Anthony Pompliano. Co-founder of Morgan Creek Digital.
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