Rising with Gold Prices! Gold Breaks All-Time High, Bitcoin Surpasses Ten Thousand Points, Ethereum Challenges Previous High from June Last Year

Since the impact of the novel coronavirus on various countries, the global economy has been severely hit. The mention of the safe-haven asset "gold" has never been fewer. With the Federal Reserve's unlimited quantitative easing policy and the White House confirming the second round of relief checks to be distributed in August, gold has broken through its historical high in 2011, and Bitcoin has also surpassed the ten-thousand mark.

Although cryptocurrencies have been in the DeFi frenzy for the past two months, Bitcoin's volatility has dropped to a new low in over a year. However, it broke the ten-thousand mark yesterday, with Ethereum reaching $329 at one point, challenging its previous high of $347 on June 27 last year.

The U.S. economic stimulus plan may be one of the driving forces behind this surge. On July 23, news from Congress indicated that the upper limit of the latest stimulus bill would reach $1 trillion. Furthermore, yesterday, White House economic advisor Larry Kudlow mentioned in an interview with CNN that the second round of relief checks ($1,200) will be distributed in August. Interestingly, Bitcoin surged past $10,000 just a few hours later.

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Mainstream Coin Price Increase

In the past 24 hours, among the top ten cryptocurrencies by market capitalization, Bitcoin and Ethereum have seen increases of 5.7% and 6.9% respectively, while Crypto.com Coin (CRO) has increased by 4.78%. The other top ten cryptocurrencies have remained relatively stable.

However, since July, various altcoins have continued to rise. Comparing the price increases of the top five cryptocurrencies, Bitcoin ranks lowest with a 12% increase, while Cardano (ADA) and Ethereum have seen increases of 67% and 44% respectively.

Gold Reaches Historic Highs

Looking back at the report on July 14, the price of gold surpassed the previous eight-year high of $1,791. Renowned author of the bestselling book "Rich Dad Poor Dad," Robert Kiyosaki, expressed extreme bullishness on gold at that time. He had been recommending investments in gold, silver, and Bitcoin, all of which have performed well this year. At the beginning of the month, he even stated:

"This may be the last time I can buy gold for less than $2,000, what do you think?"

In addition, in April of this year, one of the four major banks in the United States, Bank of America, as well as top financial institutions such as Morgan Stanley, J.P. Morgan, and Goldman Sachs, have all expressed bullish views on gold.

Twitter Community Perspectives

Given that the price of Bitcoin had been hovering near $9,000 for almost two months, the recent breakthrough of the $10,000 mark has sent the bullish sentiment in the crypto community soaring, reigniting discussions on the strength of gold versus Bitcoin.

The well-known analyst Peter Schiff, who gained fame for successfully predicting the 2008 financial crisis, is known for his long-term bullish outlook on gold and bearish view on Bitcoin, making him a nemesis in the crypto community. Following Bitcoin's breach of the $10,000 mark, he engaged in a discussion with Bitcoin advocate Pompliano regarding Bitcoin and gold.

Pomp stated that Bitcoin's total supply is capped at 21 million, making it a truly scarce asset. If the total supply of gold cannot be accurately determined, then the scarcity of gold cannot be proven.

Most members of the community still favor the asset they believe in. Some have sarcastically pointed out that unlike physical gold, where an ounce of gold is an ounce of physical gold, digital Bitcoin cannot prove its scarcity. Bitcoin enthusiasts argue that in the long term, Bitcoin's mining will be completed by 2140, making it even scarcer compared to gold.