So Long, and Thanks for All the Gold: Bitcoin's Takeover

If you have read a few of my recent posts, you will see a combination of two themes in this piece. In my first post, I wrote about my Kintsugi Method, where my algorithm determines when the market signals that a risk-off event is potentially imminent. One of the key fundamentals of this algorithm is that I use gold as the price, not the dollar.

In another post, I discussed some basics of Bitcoin, including how its supply fundamentally works.

So, one would reasonably understand that I also heavily pay attention, not necessarily to the dollar price of Bitcoin, but to its value in gold. As we approach new all-time highs for Bitcoin based on dollars and other currencies, we are still quite far from reaching an all-time high in terms of gold, and we haven't broken that high, which was set in October 2021. At that time, you could buy 37.29 Troy ounces of gold for a single Bitcoin.

Today, we sit around 25.5 Troy ounces of gold for a single Bitcoin, despite Bitcoin being around the same price when priced in dollars. So, how does this happen? Well, the price of gold has been rising significantly over the past year. Bitcoin has as well, but not as fast as gold.

If Bitcoin were to get back to the 37.29 ounces of gold today, the price of Bitcoin would have to be just over $100K when priced in dollars.

With Bitcoin now mathematically proven to be more difficult to generate than gold as of the last halving in April, do you think Bitcoin will begin to rise in relation to gold and make new all-time highs?