During the pandemic situations, people have started looking for a different investment strategy than the usual trading. It has been observed that for the past 4 months the inflow towards Gold and Bitcoin has drastically increased. That is one of the biggest reasons why Gold saw a recent all-time high of $2000 and Bitcoin is trading at $11,000. Now by seeing this price we cannot even predict that this will the highest that Gold and Bitcoin can reach.
Why comparing Gold and Bitcoin?
Most of the investors on the Crypto world who had been trading both Gold as well as Bitcoin would know about this fact that whenever there is a pump in the price of Gold, there will be an equal impact on Bitcoin and similarly whenever there is a pump in the price of Bitcoin, if we look at the gold price, there would have been a fair increase. I'm not an expert but just an observer. I have also seen this happening but I have no ideas as to why this happens.
Some of my friends compare Bitcoin or cryptocurrency trading with commodity trading. They have their own facts to explain why commodity trading and crypto trading are similar. Of course not in all aspects but in a way we can say that it is not the same as the traditional share market trading.
Old people target Gold
It was also observed recently that old investors have been investing a lot on gold recently. Maybe the experience they have with Gold trading gives them the confidence to invest more in the yellow metal and get a good profit out of it. If you ask me personally, I also like the idea of investing in Gold. It is just that for some people Gold is not highly affordable but if we compare the price, the value is always appreciating. And that can be one of the facts that attract old people to invest more in Gold as they would have been observing the price for many years now.
Young investors are into Bitcoin
Young chaps are attracted more towards Bitcoin compared to that of Gold or other metals or other commodities. Bitcoin is becoming very popular among young investors. An additional advantage the young investors have is the time. They have enough time to explore or even afford some loss in their trading journey. That can be one of the reasons why they would like to get their hands on Bitcoin instead of any other investment. Maybe the old investors wanted to play a safe game and that's why they stick to the traditional investment on Gold which is always appreciating.
Due to the pandemic situation, the traditional share market is not giving any great hopes. Most of the stocks are still very low. Some people say this is a good opportunity for buying but some people say that there is also a high possibility for some stocks to even fall further considering the fact that the lockdown and pandemic situation can continue for some more time. Seeing all these things, the investors are inclining more towards cryptocurrency investing and precious metal investments like Gold and Silver as their value is always appreciating.
What are your thoughts on these types of investments? Do you also think gold investment and bitcoin investment is good for the future? Please share your thoughts in the comments section. Also, if you find this article interesting, please vote, share and follow.
Posted Using LeoFinance