Gold really collapsing. Bitcoin UP.
Are you sure? Because losing 5% in one month is not what I call collapsing.
Well, given I made this post on 8/9/11, Gold: I Smell a Trap, I think I've earned the right to say "yeah, I'm sure".
Well, will you look at that. Nice timing. Do you still hold a single ounce of gold or are you 100% BTC in the BTC/GLD pair?
Sold all the silver and most of the gold. Still retain 2 sleeves of gold coins but that's it. Bitcoin is the future.
I keep offering to sell those 2 sleeves to all the gold bugs who stop by every once in a while claiming they're worth $30000/oz for a mere $15000/oz but not a one of them take me up on the deal.
Haha
I am pretty much in the same situation. I sold most of my gold in early 2013 but rebought some in mid 2014.
Gold is still very nice to balance a portfolio of Stocks and Bonds, unlike BTC it is directly negatively correlated to those.
Actually that negative correlation is now changing to positive correlation as we enter deflation. Go back and look at the charts of the brief deflationary 2008-9. Gold and gold stocks dropped significantly along with stocks and non UST bonds. This time that correlated drop should be even greater. And gold is leading.
You are absolutely right and I took that apparent change into account when I bought the gold. But as I was going for an 10y+ investment and I still think in that timeframe it will work as a buffer on swings.
Only time will tell, but even if it is positively correlated it won't hurt me too much.
You'll only be right if Bitcoin fails. That's not looking too likely imo.
Bitcoin has all the properties of a super money that gold can only aspire to be. That has to be on your radar.