Bitcoin will be worth 100 ounces of gold, says veteran trader Peter Brandt.
Trend trader Peter Brandt recently released a price prediction for Bitcoin (BTC), saying the decentralized digital asset will rise 230% over gold.
Brandt said the ratio of gold to BTC will fluctuate for the next 12-18 months before eventually reaching new highs of around 100 ounces of gold per BTC.
While it remains to be seen whether Brandt's prediction will prove to be true, a comparison of BTC and gold price history suggests that his comments are neither baseless nor unrealistic.
Since its inception, Bitcoin has been gaining ground on gold, but finally overtook the precious metal in 2017. That same year, Bitcoin peaked at $19,649 on December 17th.
As gold resumed trading on December 18, 2017, the commodity reached $1,264 an ounce before closing the day's candle at $1,261. Using these numbers, it takes 15.5 ounces of gold to buy 1 BTC.
Since then, the price of Bitcoin has managed to stay well above the price of gold – even at the low points of the 2018-2019 bear market, when Bitcoin hit a low of $3,126 in December 2018.
During the same month, gold experienced upward price action but only reached around $1,283 as of December 31, 2018.
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In the year Gold experienced another bull run in 2020 after the famous market crash in March 2020, which was interrupted for a while due to the Covid-19 pandemic, reflected in various assets, including Bitcoin.
In the year In August 2020, gold reached a new high of $2,075.
Bitcoin has been trading sideways during this time, but has reached around $12,341 this month.
Both assets generally underperformed in 2022 but rebounded in 2023.
Gold hit an all-time high of $2,449 an ounce in May 2024 and is currently trading at $2,320 an ounce, while Bitcoin rose to $74,000 before falling to $67,210 at the time of writing. Using the current market price, it takes about 29 ounces of gold to buy 1 BTC.
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