TL;DR
- Bitwise CEO Hunter Horsley argues that Bitcoin offers a better store of value than gold, citing its lower annual supply and structural scarcity.
- Analysts, including Joao Wedson and Arthur Hayes, point to historic bottom signals in the BTC/Gold ratio, suggesting a rare buying opportunity.
- Despite October losses, Bitcoin continues to show impressive long-term gains, while gold hovers near record highs amid ongoing geopolitical and macroeconomic uncertainty.
Bitwise CEO Hunter Horsley has reignited the debate over which asset serves as the ultimate store of value, positioning Bitcoin as a superior choice compared to gold. Horsley highlighted that maintaining gold prices requires enormous amounts of new buyers, noting that in 2024 alone, roughly 3,660 tons of gold were mined and 1,370 tons were recycled, translating to nearly $680 billion in new supply that must be absorbed by the market.
Bitcoin, by contrast, sees an annual supply of only about $24 billion, or roughly 164,000 BTC mined each year. Horsley explained that this lower supply growth provides Bitcoin with a structural edge in scarcity and price sustainability.
“Gold needs a lot of new buyers to keep prices stable or higher. I expect Bitcoin will be the better store of value,”
he stated, emphasizing growing institutional interest in digital assets as a hedge against inflation and global economic risks.
Analysts See Bottom In BTC/Gold Ratio
Supporting this view, CryptoQuant analyst Joao Wedson noted that the BTC/Gold ratio has hit historical lows, which have previously marked key turning points. Oscillator readings indicate a potential rebound, creating a rare opportunity for investors to shift allocation from gold to Bitcoin. Former BitMEX CEO Arthur Hayes echoed this sentiment, calling the current conditions among the most compelling in years for Bitcoin exposure over traditional safe-haven assets.
Bitcoin Struggles Through Broken October
Despite positive long-term indicators, Bitcoin has faced significant volatility this October. After peaking above $126,000, the asset fell over 25%, closing near $100,000 amid global risk aversion and renewed U.S.-China trade tensions. At the time of writing, BTC traded at $111,347, up 4.19% on the day but still down 8.23% for the month. Long-term performance remains strong, with a 25.46% increase over six months and 58.61% over the past year, fueled by institutional demand and ETF flows.
Meanwhile, gold continues near record highs, reaching $4,380 before slipping slightly to $4,253.97. The metal has surged 62.05% year-to-date and 123.97% over five years, as investors seek safety amid ongoing geopolitical and economic uncertainty.
