While private investors go long, the professionals bet on a falling Bitcoin price. If the Bitcoin exchange rate (BTC) had to give way at the weekend with a slide below 11,500 US dollars, the crypto reserve currency can turn back into positive territory at the beginning of the week. Bitcoin is trading 1.7 percent higher than the day before and is trading at $ 11,780 as of press time.
On a weekly basis, the Bitcoin price slips one percent into the red. In a monthly comparison, Bitcoin saves an increase of over 23 percent. The current consolidation of the Bitcoin exchange rate is correlated to the recently stronger US dollar.
Bitcoin course and gold
Gold and Bitcoin have proven to be crisis-proof investments at times. While central banks and governments saved the markets from collapse with injections of liquidity, investors are fleeing to safe havens. This has not only catapulted Bitcoin back above the 11,000 mark. The gold price also shoots from one to the next all-time high. The price development of both assets, as can be seen from the following diagram by Skew, is on par with the supply, with Bitcoin being ahead by the tip of a nose.
US dollar vs. safe havens
The upswing in stores of value can therefore be explained against the background of a weak US dollar. Conversely, a stable and recovering US dollar could cause the upward trend in crisis assets to stagnate. According to crypto trader Scott Melker, the indirect correlation between the US dollar and Bitcoin outweighs that between Bitcoin and traditional financial markets. With the recent rise in the US dollar index, which rose against the euro for the first time since June, the gold and bitcoin prices also fell.