First Mover: Why Bitcoin Isn’t a Replacement for Gold Just Yet
Bitcoin's price is approaching a new all-time high, but bitcoin is not yet the replacement for gold many think.
Bitcoin nearly triples its price in 2020 and ends the year close to $29,000, but ether gained 450%.
Christopher Wood, global head of equity strategy at investment firm Jefferies, cut his exposure to gold for the first time in years in favor of bitcoin.
"I guess if you are under 40, bitcoin is your new gold," Warsh said.
Just because gold is losing momentum and bitcoin is gaining it doesn't mean investors are selling gold to buy bitcoin – not yet, anyway.
"The adoption of bitcoin by institutional investors has only begun, while for gold its adoption by institutional investors is very advanced," a JPMorgan managing director wrote in the report.