JPMorgan: Gold remains a safe haven, while Bitcoin loses ground

In uncertainty times, investors are looking for support. Bitcoin (BTC) has been put forward for years as the digital alternative to gold. However, that promise still has to be realized. Despite considerable steps in the field of adoption, Bankgigant JPMorgan states that we are not there yet.

Gold shines

A recent report from the bank shows that this trusted certainty is still found in an old acquaintance: gold. Where BTC is often presented as the digital precious metal, the practice shows that gold is still preferred as a safe haven.

The fact that investors fall back on gold has everything to do with current geopolitical tensions, aggressive import rates and fear of a recession. Instead of stepping in more risky assets such as crypto, many return to the proven path of precious metals.

Since the increased market volatility that flows from this, there is noticeably more capital towards gold than to its digital equivalent. According to analysts from JPMorgan, institutional investors prefer gold Exchange Trads (ETFs) and futures as safe investment. Crypto currency simply does not fit in that picture at the moment.

All-time high

We also clearly see the interest in the price trend. The gold price this week tapped a new record for the umpteenth time in a short time, of no less than $ 3,660 per ounce (about 28 grams).

Bitcoin, on the other hand, has taken a big step back: the course is now more than 22% below its all-time High (ATH) of January. BTC currently fluctuates around $ 84,000, with a somewhat flat, lateral movement. Still a solid price, but it does not make it to the expectations of investors who hoped for a digital hiding place in turbulent times.

Although Bitcoin has increasingly been labeled as ‘digital gold’ in recent years, the physical precious metal is still the winner on this front. But of course Bitcoin just exists, especially compared to the age -old gold.