Bitcoin a Remarkable Hedge, Crypto Champions Bet High on BTC While Stocks Plunge  

Is Bitcoin a Remarkable Hedge Crypto Pioneers Betting High on BTC While Stock Plunges  

Bitcoin a Remarkable Hedge, Crypto Champions Bet High on BTC While Stocks Plunge  

The crypto king, Bitcoin is likely to hit this year’s ATH (All-time-high) and crypto enthusiasts are betting big on its upcoming price movement. In fact, they are calling Bitcoin a “remarkable hedge” and a “valid macro hedge”.

Is Bitcoin a Remarkable Hedge?

Bitcoin crossed the $12000 mark on Tuesday with 4.27 percent change over the past 24 hours in a bullish market continuing from July 30. At the same time, traditional stocks plunged. Tim Draper, venture capitalist and the founder of the Draper University pointed in his tweet that Nasdaq is down by 3.4%, Dow down by 2.9 % whereas Bitcoin is up by 3.2 percent.

According to market traders, investors and analysts, Bitcoin is climbing higher in the world’s financial landscape. Analysts including Tim Draper and Thomas Lee (Co-founder of Fundstrat) are even considering Bitcoin as a hedge. While the former had called Bitcoin a remarkable hedge, the latter views it a valid macro hedge. On Tuesday, Thomas Lee tweeted –

Bitcoin is proving itself to be a valid macro hedge. That is a change in its character this year and sets it up for new highs.

Analysts viewing bitcoin as a hedge comes in the wake of rising concerns over China-US trade wars. With the global equity markets dipping down, the crypto market has received enormous interest globally.

Echoing similar sentiments, Jacob Canfield, a popular crypto trader explains that “very strict capital restrictions in China results to move money via Bitcoin”. He says that there is a “Big Macro Event Here”.

Weak dollar has been good for Bitcoin – Tom Lee

On the other hand, Tom Lee shares the view that it is not just the Chinese yuan that’s responsible for Bitcoin’s price rise .

Speaking to CNBC, Lee explains the weak dollar has been a good sign for Bitcoin.

“The last couple of years, it’s been really correlated to dollar.” Lee states. “Weak dollar has been good for bitcoins. And it’s been really correlated to risk markets. This year, it’s steered away from the dollar because the dollar’s been strong, bitcoin’s been up, which is a real breakage. It’s gone negative on correlation to the equity markets.”

Given the condition of the traditional equity markets, more investors are likely to move towards Bitcoin. The trading value of Bitcoin is at $12170.94 against US Dollar with over 4 percent price growth within the past 24 hours.

BTC Price | Coinmarketcap
BTC Price | Coinmarketcap

So readers, do you think Bitcoin is a remarkable hedge? What’s your take on the growth of Bitcoin in the current politico-economic scenario? Let us know in the comments below

Image Source – Shutterstock 

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Is Bitcoin a Remarkable Hedge? Crypto Pioneers Betting High on BTC While Stock Plunges  
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Is Bitcoin a Remarkable Hedge? Crypto Pioneers Betting High on BTC While Stock Plunges  
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The crypto king, Bitcoin is likely to hit this year’s ATH (All-time-high) and the crypto pioneers are betting high on its upcoming move. In fact, these leaders are calling Bitcoin as a remarkable hedge and a valid macro hedge.
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Author: Tabassum

Tabassum is a full-time content writer at Coingape. Her passion lies in writing and delivering apt information to users. Currently, she does not hold any form of cryptocurrencies. Follow her on Twitter at @Tabassumnaiz and reach out to her at Tabassum[at]coingape.com

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Tabassum is a full-time content writer at Coingape. Her passion lies in writing and delivering apt information to users. Currently, she does not hold any form of cryptocurrencies. Follow her on Twitter at @Tabassumnaiz and reach out to her at Tabassum[at]coingape.com

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