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George Ma
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Crypto
April 7 09:00

VanEck: Bitcoin strengthens correlation with gold and safe asset status

In the long run, however, the figure remains low.
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Experts of VanEck Global, fund management firm, concluded that in the short term, Bitcoin will correlate more with gold amid the crisis caused by the COVID-19 pandemic. This strengthens the status of the cryptocurrency as a refuge asset.

In the long run, however, the figure remains low.
Correlation between Bitcoin and Gold. Source: VanEck
Experts also stressed that the correlation between the price movements of Bitcoin and the value of U.S. bonds, which traditionally serve as a safe haven for investors during sales on the stock market, has increased.
As of the investment attractiveness of Bitcoin, VanEck analysts noted that adding a digital asset to the portfolio with 60% of shares and 40% of bonds can significantly reduce its volatility. However, for this purpose, there is no available bitcoin-based stock exchange funds (ETF) currently in the U.S., they recalled.
VanEck previously tried to get SEC approval to launch a bitcoin ETF together with SolidX. Last year the companies filed a new application but withdrew it in September amid uncertainty of the regulator.