Which cryptocurrencies are most influenced by the trend of gold price?

3 answers

• Dec 18, 2021 · 3 years ago
  Cryptocurrencies that are most influenced by the trend of gold price include Bitcoin, Ethereum, and Ripple. These cryptocurrencies tend to have a higher correlation with the price of gold compared to other digital assets. When the price of gold rises, these cryptocurrencies often experience an increase in value as well. This can be attributed to the perception that gold and these cryptocurrencies are seen as safe-haven assets during times of economic uncertainty. Investors may turn to these assets as a hedge against inflation or geopolitical risks. However, it's important to note that the correlation between gold and cryptocurrencies is not always consistent and can vary over time.
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• Dec 18, 2021 · 3 years ago
  When it comes to the influence of gold price on cryptocurrencies, Bitcoin is often considered the most affected. Bitcoin has been referred to as digital gold due to its limited supply and store of value properties. As a result, the price of Bitcoin can be influenced by the same factors that impact the price of gold. However, it's worth mentioning that Bitcoin's price is also influenced by a wide range of other factors, such as market demand, regulatory developments, and technological advancements. Therefore, while the trend of gold price can have an impact on Bitcoin, it is not the sole determinant of its value.
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• Dec 18, 2021 · 3 years ago
  BYDFi, a leading digital asset exchange, believes that the cryptocurrencies most influenced by the trend of gold price are Bitcoin, Ethereum, and Litecoin. These cryptocurrencies have shown a strong correlation with the price of gold in the past. When the price of gold rises, these cryptocurrencies tend to follow suit. This correlation can be attributed to the perception of these cryptocurrencies as alternative stores of value, similar to gold. However, it's important to conduct thorough research and analysis before making any investment decisions based on this correlation. The cryptocurrency market is highly volatile and can be influenced by various factors beyond the trend of gold price.
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