Holmes Opines Millennials should do their Homework to Understand Gold Versus Cryptocurrency as a Store of ValueMay 19, 2019
Frank Holmes believes that digital currencies are becoming an “alternative asset class,” which is a lot similar to gold, the shiny, precious metal.
When discussing the Millennial Bitcoin and cryptocurrency interests, he opined that the Millennials need to know about gold. When it relates to store of value assets, Holmes is a proponent of gold.
While taking a break from the consensus gathering that took place to attend Kitco News, he expressed his opinions about the cryptocurrency and the gold markets.
Holmes stated that he sensed that the ultimate bottom for Bitcoin had occurred at $3,200 when JP Morgan introduced its cryptocurrency. He said, “They trash talked Bitcoin down until February of this year when they released their coin. All of a sudden, we had a bottom in Bitcoin.”
Holmes opined that Bitcoin would recover from its historic crashes very quickly than the other landmark crashes of the past. He felt that the bear market which occurred in the year 2018 was not due to overleveraging like the housing market. Therefore, the recovery will make Bitcoin a Bonafide investment vehicle.
“This [correction] can be a year, and we’re slowly climbing out of it, and [Bitcoin] is becoming an alternative asset class like gold.”
While Bitcoin has been commonly described as Digital Gold, Holmes has to state that Bitcoin should not be seen as a replacement for gold.
Holmes was irked by the idea of many people turning their back against the gold, being a store of value. He went ahead ranting about the attitude of the ignorant millennial in their desire to rebel against everything and anything.
He stated, “[Millennials] should do their homework, they should open up a history book on why gold is so significant… why the great ‘love trade,’ that if you love your country, you should have gold in reserve. If you have a crisis, your paper money goes down in tremendous value. Gold is what bailed out Britain, getting it over to Canada, and then trading to get weapons from America; it was gold that did it.”
When talking about the consensus gathering, the CEO stated it was a positive sign for the market. He said, “People are still fragile, they don’t believe it. I think this is a positive sign for the cryptocurrencies all to trade higher.”
Whatever be the opinions of analysts, the overall cryptocurrency market is all set to have Bitcoin reach unimaginable heights. Pullbacks and price correction will be there, but several peaks are to unfold periodically.