"Gold Still Ahead of Bitcoin"

Uk Jin

Summary

Mark Connors, founder of RiskDimensions, said major institutional investors still prefer gold to Bitcoin.
Connors said that central banks and sovereign wealth funds use gold as reserve assets and for trade settlements, whereas Bitcoin has not yet been incorporated into the international system.
He said the recent Bitcoin price decline is due more to global liquidity tightening than investor sentiment, and he projected that it will take more time for the main demand groups to accept Bitcoin.

Institutional investors still prefer gold to Bitcoin (BTC), according to some opinions.

On the 29th (Korean time), Mark Connors, founder of RiskDimensions, said, "Bitcoin is still too young," and added, "Major demand groups such as central banks and sovereign wealth funds prefer gold."

Connors cited long-established infrastructure and trust as reasons gold is preferred. He said, "BRICS countries such as China, India, and Russia are increasing their gold holdings and executing oil payments using gold," and explained, "While gold is used as a central bank reserve asset and for trade settlements, Bitcoin has not yet been incorporated into the international system."

Regarding the recent decline in Bitcoin's price, Connors said, "Global liquidity tightening has had a greater impact than investor sentiment."

Finally, Connors predicted that it will take some time for the main demand groups to accept Bitcoin. He said, "Institutions do not choose between gold and Bitcoin by flipping a coin," adding, "Gold fits within the existing framework, but Bitcoin does not yet."

BTC