Jurrien Timmer, the director of worldwide macro at Constancy Investments, says that Bitcoin stole the present in 2024 its spectacular rally that allowed the cryptocurrency to lastly clear the $100,000 mark.
He additionally famous that gold’s stellar efficiency was “particularly spectacular” given that it’s the most negatively correlated asset.
Timmer added that the markets ended the identical means they started final 12 months, with Bitcoin and gold being in cost alongside some main U.S. shares. Nonetheless, it stays to be seen whether or not this dynamic will play out this 12 months. “Whether or not 2025 would be the 12 months that flips these polarities round is one thing that we’ll all be spending many hours on within the coming months,” he stated.
Bitcoin reached a brand new report excessive of $108,135 in December. Nonetheless, it has been struggling to regain floor since then as a result of Federal Reserve’s hawkishness.
In December, Timmer opined that gold and Bitcoin have been two gamers “on the identical group.” The 2 belongings reached a mixed market worth of $20 trillion.
On the similar time, he seemingly downplayed the significance of the $100,000 milestone, arguing that it’s “simply the worth.”
“Bitcoin at $100k might be excessive or low, relying in your viewpoint, however a mixed market worth of $20 trillion is a quantity rooted in financial fundamentals,” he stated.
He famous that the expansion of the cash provide might be one of many key elements that can decide whether or not or not Bitcoin and gold will proceed advancing.
Earlier, Timmer additionally famous that the worth of Bitcoin had been “carefully linked” to the dimensions and development of its community. In November, he warned that the cryptocurrency’s community development slowed down considerably in 2024.