Bitcoin rose to a new all-time high at 1.74 million baht, or $ 58,330.57 apiece, on Monday as physical spot gold hit a seven-month low and traders advised that the current drop in prices is a good time to buy gold .
Bitcoin surpassed the one kilogram gold price for the first time on Sunday, which was around $ 57,300.
Bitcoin’s market cap has grown to over $ 1 trillion and is valued at 10% of the physical gold market cap.
In Baht, the all-time price for Bitcoin also reached a new high at 1.74 million Baht, slightly higher than the gold bar price of one kilogram (purity 99.99%) at 1.73 million Baht.
“This is a good time to buy gold because I don’t think real gold will lose investor interest,” said Nattapong Hirunyasiri, CEO of MTS Gold Futures.
Mr. Nattapong said an asset whose price moves too quickly can fall just as quickly.
“Although I am a high-risk lover, I am uncomfortable with the rise in Bitcoin prices,” he said based on personal experience of hard crashes in gold prices.
He said Tesla CEO Elon Musk, who has become an influencer of market prices because of his public statements, also mentioned physical gold bars and ETFs as interesting assets, not just bitcoin and cryptocurrency.
Many parties have warned of the rise in Bitcoin prices in a very short space of time, triggered by fears of inflation due to the flood of money brought in by the stimulus measures in the US, but also by investors looking for high returns in a short period of time.
Yesterday, the global gold price rebounded from a low of $ 1,759 an ounce last Friday to $ 1,780-1,795 an ounce.
In Thailand, the price announced by the Gold Traders Association was 25,400 to 25,500 baht per baht of gold weight compared to 25,200 baht last Friday.
Tipa Nawawattanasub, CEO of YLG Bullion and Futures, said this is a good time to buy physical gold as the price correction is likely to be short-term.
“The gold price is moving in an upward trend in the medium and long term.”
Ms. Tipa said the price is expected to test the resistance area of $ 1,965 an ounce and then $ 2,075 an ounce in the medium term. In baht, the first resistance is 27,950 baht per baht of weight, then 29,500 baht.