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JP Morgan: Bitcoin is becoming more and more “digital gold” every day

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Alex Gurevich is a Doctor of Mathematics and a former manager at US Bank JPMorgan. In a commentary on Yahoo Finance, Gurevich now commented on Bitcoin and its comparability with gold. His central thesis is that Bitcoin is becoming more and more “digital gold” every day it does not disappear.

Gurevich starts his article with the question, like gold “Actually became gold” and “why it stays gold”. This does not mean, of course, the question of the chemical-physical composition, but the status of gold as a means of exchange and store of value.

He adds that gold has been used as a means of exchange for [many] centuries. It does not corrode and remain unchanged over time. In addition, one could trade gold by weight. He explained that it would be more practical than gemstones whose value depends very much on their shape and quality. However, one must remember, he reminds readers, that gold is neither the most common nor the rarest among precious metals , This brings him to the thesis that gold has held the “golden mean” over the centuries, which has turned out to be his [the gold] advantage. He explains that gold is often enough to serve as a currency, but not so often that you can easily change value by mining. Also, it has enough utility and is decorative enough to really use it. At the same time, however, the stock is not so short that smaller changes in demand lead to sharp price changes.

Ethereum the silver, Bitcoin the gold

Furthermore, Gurevich writes that Ethereum becomes “digital copper” as Bitcoin approaches the status of “digital gold”. The interest in Ethereum is driven by the demand for technology. Bitcoin, on the other hand, is in demand as a liquidity store.

The leadership role of Bitcoin is explained by Gurevich's term of availability. Bitcoin is therefore in the process of surviving all other competitors. On the resilience of Bitcoin, Gurevich writes:

“Bitcoin may or may not be a bubble, it's more important to remember that a big Bitcoin bubble burst in 2014 already. Again this year, markets have seen Bitcoin overcome two meaningful corrections. “

As a result, Gurevich concludes that Bitcoin continues to stabilize with every bubble it has survived and is approaching the gold-plated confidence. Thus, Gurevich concludes his comment with the following statement:

“Regardless of the rise and fall of various Altcoins and Fork considerations, the time plays FOR Bitcoin and not DAGEGEN. Every day it does not go away, it takes one step closer to the permanent status of “digital gold.”

Source: Yahoo! Finance, Pixabay

Author: Peter Joost – Source Post: https://www.kryptovergleich.org/jp-morgan-bitcoin-wird-jeden-tag-mehr-und-mehr-zu-digitalem-gold/

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