Fidelity Executive: "Possibility of Gold Yielding Dominance to Bitcoin (BTC)"

JH Kim

Summary

Jurrien Timmer of Fidelity stated that there is a possibility that gold will yield dominance to Bitcoin.
He reported that gold and Bitcoin show a negative correlation and have alternately led the upward trend based on the Sharpe Ratio.
He explained that with Bitcoin's current Sharpe Ratio at -0.40, there is a possibility of Bitcoin regaining dominance considering past trends.

Jurrien Timmer, head of global macro at the major US asset management firm Fidelity, stated on the 2nd (local time) via X (formerly Twitter) that "there is a possibility that gold will yield dominance to Bitcoin (BTC) in the near future."

Timmer explained, "Ironically, gold and Bitcoin are showing a negative correlation," adding, "In recent years, both assets have alternately led the upward trend based on the Sharpe Ratio."

He continued, "Currently, Bitcoin's Sharpe Ratio is -0.40, while gold is at 1.33," and added, "Considering past trends, there is a possibility that Bitcoin will regain dominance soon. It might be time to switch from gold to Bitcoin."