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Cryptos Join The Precious Metals Party: Ethereum Surges To 5-Month Highs

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Cryptos Join The Precious Metals Party: Ethereum Surges To 5-Month Highs

Tyler Durden

Wed, 07/22/2020 – 20:15

Mimicking their non-fiat currency peers in precious metals land, cryptos are surging higher tonight as Asian markets open.

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Source: Bloomberg

Bitcoin jumped back above $9600, its highest in a month…

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Source: Bloomberg

But it is Ethereum that is stealing the show for now, ripping higher to $170 – its highest since February…

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Source: Bloomberg

With yields crashing to near record lows around the world, negative-yielding debt is once again on the rise making the zero-yielding precious metals and crypto even more attractive as a lower cost place to store wealth…

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Source: Bloomberg

And it seems crypto has some catching up to do as gold and negative-yielding debt values trade tick for tick higher.

As Tyler Winklevoss recently noted, “The Fed continues to set the stage for bitcoin’s next bull run,” in a July 22 tweet, which included an article link on the government agency’s discussions of further stimulus spending.  

As a decentralized borderless digital asset away from government control, Bitcoin holds as a potential hedge to mainstream markets and national dollars — a point often stressed by a number of crypto industry participants.

Bitcoin holds a 21 million coin maximum supply, protecting the asset against value dilution. “When money printer go brrrr and inflate the stonks market, it’s time to Bitcoin,” Winkelvoss said in a July 18 tweet, referring to U.S. money printing resulting in a rising stock market, while giving the nod to Bitcoin as an alternative.


Source: zerohedge.com

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