Bitcoin has been assimilated to digital gold for a long time and a sort of official recognition of this way of understanding it comes from Bloomberg, which in a recent analysis, considers the queen of crypto as the best possible asset against inflation.

In this period there is more than ever fear about the damage that the high cost of living can cause.

Just think that in October it reached 6.2% on an annual basis and 0.9% on a monthly basis, and the climb affected a wide range of goods and services, not just energy.

There is little alternative at this time to the Fed raising rates anytime soon, and Pimco expects the Fed to do so twice in 2022, with further increases in 2023.

Such high inflation is viewed by Federal Reserve policymakers as transitory, but investors do not see it that way.

So reality requires action, and Bloomberg through its top analysts Bjorn van Roye and Tim Orlik, reports that half of the latest $BTC price increase should be traced to these inflation hedging actions.

But the considerations of the leading financial news group follow those of Goldman Sachs, which points to gold in the $2,000 area and, believes that Bitcoin is in part replacing the precious metal as a store of value (which has grown less than Bitcoin).

Therefore, there has been a significant flow of capital towards cryptocurrencies and gold after the US data was made official and the analysis of the American investment bank is coupled with the large increase in demand for gold in China just at the same time as the cryptocurrency ban.

Translated with (free version)