Nigel Green, CEO and founder of the financial advisory firm deVere Group, sees Bitcoin as a substitute for gold. The oldest cryptocurrencies could replace some investments that are considered secure. As a result, Bitcoin could actually live up to its nickname of „digital gold“ in the future.
Bitcoin as digital gold
The company suspects that the Bitcoin price will skyrocket due to the political and economic tensions between the USA and China together with the price of the precious metal gold. The CEO believes that the tensions between the two states will escalate. At the same time, the price of Bitcoin could skyrocket.
In a statement issued by deVere Group on July 27, Green explains: „Bitcoin, the largest and most influential cryptocurrencies, shot past the critical resistance level of $10,000 – all eyes are now on the critical $10,500 mark. Established Bitcoin bulls and new crypto investors could make this possible this week as tensions have increased between the US and China, the two largest economies in the world.
Continued tensions between the two countries
While Washington closed the Chinese consulate in Houston a few days ago, Beijing closed the US consulate in Chengdu.
Green explained: „Geopolitical issues, such as the dispute between the US and China, will lead many savvy investors to increase their exposure to decentralized, non-governmental, secure digital currencies, including Bitcoin, to protect them from the turbulence in traditional markets. Investors are flocking in droves to safe-haven investments, especially those not tied to a specific country, such as Bitcoin and gold, the latter of which reached record highs on Monday.
According to Green, gold could soon become less interesting for investors, partly because of the ongoing digitalization.
The $12 billion financial giant deVere Group is one of the world’s largest independent financial advisory and fintech organizations.