Something odd happened at the peak of Bitcoin mania back in 2017. All of a sudden, all financial papers replaced their gold tickers with Bitcoin tickers. It was not a case of one or two papers doing this. Every mainstream paper did this in unison.
Never mind that the Bitcoin market is a feather-weight relative to the gold market, and Bitcoin has no strategic importance in global politics. Everyone was suddenly rooting for Bitcoin while hiding gold from view.
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| Search interest for Bitcoin, gold and silver |
Predictably, search interest for Bitcoin went parabolic, with small investors drawn into the casino as a consequence.
The spike in interest peaked out just as the price of Bitcoin reached its 2017 peak:
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| Price of Bitcoin |
What followed was a price collapse, and it wasn't before the pandemic of 2020 that the price of Bitcoin made another peak. People were locked at home with little to do but gamble with their government handouts.
Then, as Covid restrictions were lifted, there was another price collapse that lasted until a new price pump started in 2024, which has sent the price of Bitcoin soaring to new heights for no good reasons at all.
As of writing, the price of Bitcoin has reached a new all time high of $ 110,000. However, Bitcoin hasn't outperformed gold this year. It's up 15% while gold is up 28%. Yet, new Bitcoin highs get covered on TV, while new highs in the price of gold get but an anecdotal mention in financial papers.
The situation for Bitcoin is strange, because it's reaching new highs despite less search interest on Google. Bitcoin isn't going up because of more interest. It's going up despite less interest, and this is happening in the context of main stream media enthusiasm.
What makes this even stranger is that gold has had an important role in finance and geopolitics since the dawn of history, while Bitcoin has no such function. Why then has a unison media decided to promote this newcomer while at the same time hiding the heavyweight old-timer?
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| Sovereign |
By Heritage Auctions for image, Mary Gillick for coin - Newman Numismatic Portal, Public Domain, Link
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