Bitcoin plays an increasingly important role in institutional portfolios

Speaking about his observations of Bitcoin during last week’s holiday period in the latest Bloomberg Markets newsletter “5 Things You Need to Know to Start the Day,” the news platform’s executive editor Joe Weisenthal said he was surprised by Bitcoin’s growth, which looked similar to gold, which has also seen its price rise recently.
He said that based on the 20-day charts of both assets, it was clear that their intraday behavior was similar, adding that it was odd that Bitcoin “was still trading over the weekend and gold wasn’t.”

Senior editor Joe said this shows that institutional trading in Bitcoin is growing and that cryptocurrencies play an important role in institutional portfolios, so any macro factors that may increase gold prices may also drive up Bitcoin prices.
Joe further explained that the similarities between the two assets are so close to being “point-by-point or minute-by-minute” that it is indeed surprising.
Meanwhile, a military war between Iran and the United States was one of the first major risks Bitcoin experienced in early 2020, based on Bitcoin’s reaction during the war.

The cryptocurrency giant portrayed Bitcoin as a risk-on after witnessing a violent sell-off in mid-March.
March 13, 2020 was a bad day for Bitcoin as it experienced a massive drop. The same was true for gold, although the yellow metal managed to hold on to gains even as BTC plunged to almost -50%.
According to Skew, at the end of July, gold rose sharply to about $2,074, and Bitcoin grew from -0.1% to a new high of 67.1%.

The correlation competition between gold and Bitcoin continues, with the representative cryptocurrency BTC and gold prices moving in parallel after a painful pullback on August 11, and Bitcoin hitting a new 2020 high of $12,000 on August 18.
Even though he does not believe in the legitimacy of digital assets, Joe admitted that it was not until the day before yesterday that Bitcoin achieved a feat of huge gains in the market, which gave it more official recognition.
He further added that Bitcoin, the king of cryptocurrencies, is a "macro-sensitive" economic asset with the same wind direction, and as we all know, interest rates have been plummeting, so Bitcoin is looking more and more like a standout asset. (Baijiahao)