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  • BTC/USD is locked in a tight range after wild movements.
  • In the long run, BTC will benefit from the global turmoil.

At the time of writing, BTC/USD is changing hands at $9,750. The first digital coin has gained 1.6% on a day-to-day basis and stayed mostly unchanged since the beginning of the day. The first digital coin has been locked in a tight range limited by $9,400 on the downside and $9,700 on the upside after wild gyrations at the beginning of the week. BTC/USD is moving within a short-term bearish trend; however, the long-term forecasts remain bullish

Bitcoin and gold are the winners

Bitcoin and gold will benefit from the current economic and financial turmoil and become the top-performing assets, according to June 2020 commodity outlook published by Bloomberg Intelligence.

The experts believe that Covid-19 consequences will support both the precious metal and the digital asset, making them top candidates to advance in 2020. 

Among the few assets up in this tumultuous year, gold and Bitcoin are building foundations for further price appreciation, in our view.

Commenting on the report, Bloomberg Intelligence Senior Commodity Strategist Mike McGlone explained that unprecedented monetary and fiscal stimulus would solidify the positions of Bitcoin and confirm its status of digital gold.

In the unlikely event of a significant change for the worst, we expect the #Bitcoin price to continue appreciating. Unprecedented central-bank easing is accelerating Bitcoin maturation toward a digital version of gold, while accentuating oversupply constraints in most of the mkt

The technical picture of both assets is also similar. Thus, gold found support at $1,700, and each day above this area builds a firmer base for the next bullish wave. Meanwhile, Bitcoin recovered from the mid-March sell-off and has been oscillating between $9,000-$10,000 ever since.

BTC/USD: daily chart

We view the benchmark crypto as a resting bull that likely needs something to change significantly in its 10-or-so-year history to not just resume doing what it was doing: appreciating. If the stock market rolls over, gold and Bitcoin should gain buoyancy.