Bitcoin [BTC] dropped from 13,000 levels from yesterday to trade below $11,800. The bulls failed to break the price above new yearly highs near $14,000.
The price of Bitcoin [BTC] at 4: 45 hours UTC on 11th July 2019 is $11,430. It is trading 11.72% lower on a daily scale.
On the other hand, Gold rose by around 2% from $1395 to record a high of $1427. The rise can be attributed to Fed’s rate cut view in the US. Peter Schiff tweeted,
Today the Fed indicated that it wants more inflation and that it will cut rates to bring that about. Since inflation erodes the purchasing power of the dollar, investors sought a monetary alternative that acts as a store of value. That’s why they bought gold and not Bitcoin!
Nevertheless, Bitcoin has gained about 187% since the beginning of this year. Moreover, in most instances, the rise was in correlation with the falling Chinese Yuan and rising global economic tension. However, Bitcoin’s volatility becomes an issue of concern because a safe haven asset is supposed to preserve value, while there is a lot of risks involved in Bitcoin investment.
Moreover, the viability, digital economic drive, and decentralization in the global economy are arguments that cannot be ignored.
Reportedly, Peter Schiff has agreed for another bout with a Bitcoin supporter to present the opposing arguments. In fact, not any supporter but one of the most popular names in Crypto-Twiter – Pomp. Anthony Pompliano, the founder of Morgan Creek Digital will contest Schiff to convince ‘gold bugs’ of Bitcoin’s potential.
Ran Neuner will be the moderator of the debate, he tweeted,
— Ran NeuNer (@cryptomanran) July 10, 2019
The cryptocurrency space witnessed two big showdowns this year with between crypto proponents and Bitcoin bashers. The first was between Peter Schiff and Barry Silbert of GrayScale Investments and the second was recently witnessed between American Economist, Nouriel Roubini, and CEO of one of the largest crypto derivates Exchange, Arthur Hayes.
All participants have presented strong arguments and continue to hold and work on that belief. Nevertheless, Bitcoin’s growth this year on the pretext of a safe haven and ‘digital gold’ has melted the faces of the bears as Bitcoin reached a high of $13,880. However, the volatility and sudden shift in market sentiments still remain an important issue of consideration.
Pompliano aims to change Peter Schiffs’ mind about Bitcoin and hopes that “he walks away a Bitcoin believer.”
Do you think that Pomp will be able to convince Peter otherwise? Please share your views with us.
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Nivesh from Engineering Background is a full-time Crypto Analyst at Coingape. He is an atheist who believes in love and cultural diversity. He believes that Cryptocurrency is a necessity to deter corruption. He holds small amounts of cryptocurrencies. Faith and fear are two sides of the same coin. Follow him on Twitter at @nivishoes or mail him at nivesh(at)coingape.com