Bitcoin and Gold both fell sharply over 6% and 4% on the COVID-19 Vaccination news.
Gold still struggling to recover the losses but Bitcoin has almost rebounded to the previous levels.
Bitcoin is Less Volatile than Gold and Stocks
Bitcoin v/s Gold is one of the most debatable topics in the market when it comes to the most ‘Safe-Haven’ asset for investments. In fact, Gold proponents rejoiced when the asset surpassed $2000 per ounce for the very first time, but woefully it was just a matter of time.
In a recent update, the drugmakers Pfizer and BioNtech announced their vaccination for COVID-19 is more than 90% effective. With the news rounding up in the market, Gold was viewed as a safe place for many investors dumped massively.
Bitcoin price also plunged within the same range of Gold but the contrast lies with the retracement. Gold is still struggling to touch $1900 but Bitcoin is close to $15300 marking more than 60% correction.
On the other hand, stocks rallied with the news. Therefore, Bitcoin showcased a sense of consistency by rebounding in a very short period of time. The CEO of MicroStrategy Micheal Saylor also pointed out that Bitcoin is less Volatile.
Bitcoin ‘Buy at Dip’ approaching?
Technical Analyst and the inventor of Bollinger Bands, John Bollinger has predicted a short pullback of Bitcoin. The forecast was based on the Bollinger Bands indicator that suggests ‘correction of the recent gains’.
As the BTC price rallied above the upper pattern of the indicator, it is said to have been ‘overbought’. And hence, anticipated undergoing a small dump before consolidating.
Despite, the vaccination scoop and the speculation from one of the well-known analyst, the market sentiments of the Bitcoin community are extremely bullish and greedy too.
Many believe the asset has the potential to touch $17500-$18000 in the coming days. Also considered as a ‘safe-haven’ asset than Gold and Stocks.