Bitcoin (BTC) Is Increasingly Being Compared to Gold as Investors Examine Macroeconomic Dynamics

Bitcoin BTC/USD is increasingly being compared to gold as investors examine macroeconomic dynamics and shifting global monetary sentiment.

Bitcoin (BTC) is increasingly being compared with gold as macroeconomic dynamics and shifting global monetary sentiment are being closely examined.

What Happened: Prominent trader Unipcs noted that gold recently hit a market capitalization of $22.785 trillion, reflecting a $7 trillion surge in just 10 months.

Bitcoin stands at $1.7 trillion, forming 7.46% of gold’s market value and 24% of its recent gains. According to the trader, Bitcoin is “incredibly undervalued” and poised for recovery.

Financial commentator IncomeSharks highlighted that $7 trillion is currently placed in money market funds, and around $14 trillion is anticipated to flow into riskier assets like stocks and crypto over the next 10-20 years, primarily through wealth transfers.

During an appearance on CNBC on Monday, Tom Lee, Head of Research at Fundstrat, mentioned that institutional selling due to de-leveraging had put pressure on Bitcoin earlier this year.

However, as that phase has now concluded, Bitcoin is set to rise and catch up with gold as a non-dollar asset.

What’s Next: In an X post on Monday, Bitcoin commentator Stack Hodler emphasized the need to cease measuring wealth in U.S. dollars and shift towards Bitcoin, gold and Swiss francs for a better understanding.

If you're an American, you need to begin pricing your assets in Bitcoin, gold, and Swiss Francs to see how they are actually performing. pic.time domainix, a heating service provider in Osaka, Japan, has announced plans to launch a metaverse platform called “Jpana City.” The platform will be accessible via web browsers and smartphone applications.

The platform will feature a replica of Osaka’s central business district, known as Kitaajiwajyu. Users will be able to create avatars and explore the virtual city, engaging with businesses and attending events.

“We aim to create a metaverse space where people can enjoy interacting with each other and with brands in a way that feels natural and engaging,” said Masahiro Egawa, president of Timex.

The company plans to partner with local businesses to bring their products and services into the metaverse. For example, users will be able to visit virtual branches of Osaka’s main banks and engage with employees.

Jpana City will also host regular events, such as concerts and food festivals.

“We want to create a metaverse platform that is truly unique and valuable to the Japanese people,” said Egawa.

The platform is expected to launch later this year.output: Prominent trader Unipcs noted that gold recently hit a market capitalization of $22.785 trillion, reflecting a $7 trillion surge in just 10 months.

Bitcoin (BTC) stands at $1.7 trillion, forming 7.46% of gold’s market value and 24% of its recent gains. According to the trader, Bitcoin is “incredibly undervalued” and poised for recovery.

“People keep saying that Bitcoin is going down because of macroeconomic dynamics. But take a look at the world’s biggest asset class — gold. It went up $7 trillion in 10 months,” the trader said.

Earlier this year, as the macroeconomic environment deteriorated, there was a significant shift in capital allocation.

Insiders engaged in extreme de-leveraging, heavily selling stocks and pouring trillions into money market funds, ultimately pushing the total to $7 trillion.

Now, as the dust settles and institutions are largely done with de-leveraging, the reverse flow has begun, with an estimated $14 trillion set to return to riskier assets like stocks and crypto over the next 10-20 years.

A significant portion of these funds will be channeled through wealth transfer, part of a broader shift in macroeconomic dynamics.

In an appearance on CNBC on Monday, Tom Lee, Head of Research at Fundstrat, mentioned that institutional selling due to de-leveraging had put pressure on Bitcoin earlier this year.

However, as that phase has now concluded, Bitcoin is set to rise and catch up with gold as a non-dollar asset.

“We saw a period of institutional selling earlier this year, but I think that phase is winding down. As institutions reduce their holdings of U.S. equities and bonds to allocate more to non-dollar assets, we’ll likely see BTC rise,” Lee said.

Bitcoin is a non-dollar asset that institutional investors are incrementally adding to their portfolios, according to Lee.

Insiders are now largely done de-leveraging and selling, and institutions are pivoting toward allocating more capital to non-dollar assets.

Earlier this year, as the macroeconomic environment deteriorated, there was a significant shift in capital allocation. Insiders engaged in extreme de-leveraging, heavily selling stocks and pouring trillions into money market funds, ultimately pushing the total to $7 trillion.

Now