According to market data, gold is preferred by investors as a safe port in the US -led trade tension environment. Bitcoin $97,645.2 and the expected dynamism in order to increase value. This leads to a fall between Bitcoin and Gold.
Gold and Crypto Market Status
Bitcoin’s price in dollars and the price of gold per ounce of gold decreased to 34 learned. This ratio tries a level close to the previous height, and it is observed that there is a decrease of approximately 15.4 percent after the summit of over 40 in last December. The data reveals that the mobility in the crypto money market narrows compared to the gold market.
Gold has increased by 10 percent since the beginning of the year, reaching $ 2,877 per ounce. Behind this increase is, as well as concerns about the trade dispute between the United States and China, investors tend to avoid risk. Market actors state that the increase in demand for gold is closely related to global trade tensions.
US-China Trade Voltage and Safe Port Requests
Trade disputes increase the demand under the tariffs and global uncertainties, while reflecting the pressure on investors. The tension between the US and China causes an increase in demand in the gold market. The threat of the tariff has led to the fact that gold futures transactions prices are above the spot price.
JPMorgan, the largest banking company, said this month he plans to deliver 4 billion dollars of gold ingot to New York this month. These developments reinforce the safe port perception in the gold market.
Bitcoin ETF transactions and market orientations
Investments in ETFs traded in the US are under the influence of technical arbitrage.
Markus Thielen, simultaneous spot or futures sales can be balanced by ETF purchases, he said. In the following statement, Thielen’s views are included;
“Since ETF purchases can be balanced by simultaneous spot or futures sales, no significant price impact may arise.” – Markus Thielen
Market developments affect investor behaviors depending on the mobility and global tensions in different asset classes. While the choice of safe harbor in the gold market continues, the fluctuations and ETF transaction volumes in Bitcoin attract attention. Data show that market actors follow strategies based on risk analysis.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
