Experts disagreed with the widespread opinion that the bitcoin exchange rate rose due to the launch of trading of a bitcoin-related ETF. "By itself, the launch of BITO (the ProShares Bitcoin Strategy ETF fund is unlikely to trigger a new phase of significantly larger capital inflows into bitcoin," the strategists wrote. Experts believe that investors have begun to perceive bitcoin as a better safeguard against inflation than gold, which has led to a shift from gold ETFs to bitcoin funds.
The record rise in global prices is causing serious concerns in the markets. Investors are becoming interested in assets that could hedge their funds against inflation. Market participants began to replace gold with cryptocurrency, and strategists think that this trend will continue for a long time, so experts gave an optimistic forecast for bitcoin at the end of 2021. The American billionaire investor Paul Tudor Jones also agrees with the corresponding forecasts. In his opinion, the cryptocurrency won the race against gold, as it is a very good insurance against inflation.
On October 20, bitcoin broke an all-time record, surpassing the $64,800 mark it previously reached in April 2021. The price of the cryptocurrency continued to rise, hitting a high of $66,800 for the day. As of this writing, bitcoin is trading at $66,128, according to CoinDesk.