Investment analyst and asset manager at Oppenheimer Ari Wald has recommended cryptocurrency over Gold.
Both bitcoin and gold have surged in recent days just as the Congress in the United States is debating over the further stimulus program to support the economy amid the pandemic.
It’s time to invest in bitcoin
On Tuesday, July 28, 2020, bitcoin touched the highest level in about 11 months, which is a big deal for BTC investors considering its non-impressive sideways moves in the past 12 months.
Equally, gold has broken above the nine-month peak and hit an all-time high nearly the same time bitcoin showed a significant “value”.
While the debate over bitcoin and gold is going on, most economists expect governments to push for further stimulus measures and encourage an inflationary bias.
While most traditional investors are betting on the metal on the premise that it is more reliable amid global crises like this, investment bank Oppenheimer is more bullish on Bitcoin.
“Cryptocurrency reversing its downtrend”
Ari Wald who is the head of technical analysis at the bank, was quoted by CNBC as saying, “We’ve been recommending gold as a way to play the expansion of the [Federal Reserve’s] balance sheet.
“It’s actually the high momentum commodity, it ranks highest above all commodities out there in terms of momentum.
“We do recommend sticking with it but I think it’s worthwhile to highlight bitcoin instead which isn’t as extended.”
Ari Wald posited that bitcoin had experienced a major breakout, which could secure more gains for it in the longer-term.
The analysts noted that the cryptocurrency was reversing its downtrend that started at its 2017 high.
“If you are a long-term holder, this is the type of action you’d like to see,” said.
At the time of this report, 1BTC is trading at $11,278 on bitfinex on Wednesday, July 29, 2020.