For the first time in the history of the bitcoin, the digital currency is worth more than an ounce of gold. The value of gold has fallen by about 1.3 percent today, while the value of a bitcoin has increased by about three percent. As a result, the charts of gold and bitcoin intersect for the first time.
Rise
It had been a while for the bitcoin to exceed the value of an ounce of gold. Over the last few years, the price of gold has remained relatively stable, making it worth $ 1,237.73 per day today. The bitcoin, on the other hand, had a low point in 2015 with a value per unit of only $ 200. Since then, the bit coin has risen steadily in value, making the currency worth $ 1,238.11.
When the bitcoin was launched, it was predicted that the digital currency would ultimately replace gold as an alternative currency. The fact that the currency has risen by 185 per cent in one year, suggests that investors have indeed put their money into bitcoins. If the digital currency continues to rise, it would be possible to give the so-called gold standard the death penalty.
Golden standard
Investors talk about gold as the default for alternative currency because of its stable value. Traditional currencies such as real estate and equities are very lucrative, but can quickly fall into value. Gold is therefore considered a safer alternative and is used by investors to protect themselves from potential losses of traditional currency.
The low value of the bitcoin still meant that few investors were interested in the digital currency. Moreover, it is not easy to invest in bitcoins. Now the currency is worth more than gold could change here.