Image default
Special Bitcoin News

Gold Sees Largest Weekly Outflow Ever, Metal Prices Spiral Lower, Analysts Expect Flows Into Bitcoin

Gold Sees Largest Weekly Outflow Ever, Metal Prices Spiral Lower, Analysts Expect Flows Into Bitcoin

Gold investors are getting anxious, as the precious
metal’s prices have slid a great deal since a number of vaccine
companies have revealed medicines to combat the coronavirus. The
price of one ounce of fine gold is valued at $1,770 per unit after
the precious metal registered the third straight weekly loss in a
row. Moreover, last week gold saw the largest weekly outflow ever,
as investors seem to be selling the safe-haven asset in great
numbers.

Gold (Au) prices per ounce continue to spiral lower in value, as
the price of the precious metal is down more than 14.5% since the
all-time high this past August. The reason for the low value during
the last few weeks may be due to the
progress
stemming from vaccine manufacturers who claim to have
produced medicines that will help battle Covid-19. Craig Erlam, an
analyst from the forex exchange OANDA believes the most recent
vaccine news is probably the driver.

“The news of vaccines has led to a lot of optimism in the
market and we are seeing some outflows in safe-haven assets like
the dollar, Treasuries and the same is being reflected in gold
prices,” Erlam said in an interview
on Monday.

Gold Sees Largest Weekly Outflow Ever, Metal Prices Spiral Lower, Analysts Expect Flows Into BitcoinThe precious metals
markets for gold (Au) and silver (Ag) on Monday, November 30, 2020.

Meanwhile, gold has also seen the largest weekly outflow ever,
as analysts suspect that gold investors are cashing out. For
instance, the independent financial researcher at The Gold
Observer, Jan Nieuwenhuijs, shared a
chart
last week showing the massively sized gold outflows.

Alongside this, in an investor’s note on Monday, the chief
analyst at Activtrades Carlo Alberto De Casa said “the short-term
trend for bullion has been compromised by the price falling through
the support level at $1,850.” The Activtrades chief analyst
further added:

Investors have moved to other assets, seeking faster
gains, although they haven’t forgotten that central banks will be
forced to print money for many years to help the economy to recover
from the Covid-19 crisis.

Gold Sees Largest Weekly Outflow Ever, Metal Prices Spiral Lower, Analysts Expect Flows Into Bitcoin

Of course, many investors and analysts see the precious
metal’s money flow going into the cryptocurrency economy.
Moreover, traditional market sentiment has improved a great deal
and this has put a lot of eyes on bitcoin and digital asset
investments. Simon Peters, an analyst at Etoro says that
“sentiment is improving in traditional markets and the
world.”

“All eyes have been on bitcoin in the past week with debates
raging as to whether we reached a new all-time high or not,”
Peters added. The Etoro analyst continued:

After the blistering run in the past eight weeks, a
price correction was bound to occur and the fall this week is more
than coincidence. With bitcoin having finally hit a three-year high
on Tuesday – just days before Thanksgiving and the blockbuster
sales of Black Friday it seems that many investors that have held
since December 2017 have chosen to take their profits.

Furthermore, macro strategist Raoul Pal told his 282,000 Twitter
followers that he planned to sell all of his gold reserves for
cryptocurrencies. “I have a sell order tomorrow to sell all my
gold and to scale it to buy
BTC
and ETH (80/20),” the
macro strategist tweeted.
I don’t own anything else (except some bond calls and some
$’s). 98% of my liquid net worth,” Pal added.

The co-founder at Three Arrows Capital, Kyle Davies, also
discussed money from gold flowing into the crypto economy this
week.

“No one goes gold -> $BTC -> alts This
year has seen big high net worth inflows from USD or gold to
BTC. This is
not retail. These guys aren’t going into ripples,” Davies
tweeted
on Sunday.

Gold Sees Largest Weekly Outflow Ever, Metal Prices Spiral Lower, Analysts Expect Flows Into BitcoinOn the exchange Bitstamp,
bitcoin (BTC)
touched an all-time high of $19,864 on Monday, November 30, 2020.

While crypto-assets like bitcoin are on a tear and gold prices
are seeing weekly lows week after week, per usual, gold bug Peter
Schiff has felt the need to attack bitcoin on Twitter. Schiff is
not too pleased with the fact that a number of CNBC news anchors
like
Brian Kelly
are bullish about bitcoin’s future value.

“The reason it’s so easy for bitcoin pumpers to fool CNBC
anchors into buying into the bitcoin mania is that their
understanding of investments, fiat money, gold, and economics is so
limited,” Schiff tweeted
on Monday. “CNBC anchors are entertainers. At least sports
anchors know something about sports,” he added. Meanwhile, on the
exchange Bitstamp, bitcoin (BTC) touched an

all-time high
of $19,864 on Monday, November 30, 2020.

What do you think about the massively large gold
outflows last week and the price spiraling lower? Do you think gold
investors are joining the crypto economy? Let us know what you
think about this subject in the comments section
below.

The post
Gold Sees Largest Weekly Outflow Ever, Metal Prices Spiral Lower,
Analysts Expect Flows Into Bitcoin
appeared first on Bitcoin News.

Related posts

White House Tech Advisor Tim Wu Keeps at Least $1 Million in Bitcoin

Out of All the American States Study Shows Hawaii Expressed the Most Crypto Demand This Year

Coinchange Announces Truly 0% Fee Brokerage and 25% APY DeFi Platform That Is Secure and Regulated

Translator / 翻译者 / Traductor