The new gold coins — financial markets?
In the past few weeks, the price of gold has been in decline, especially China reserves data recently showed gold reserves than expected to decrease. Gold has been used as a hedge against inflation, when investors seek to avoid risks, the price of gold will rise.
But this time, even if all the central bank to implement monetary policy, inflation has recession phenomenon, can the price of gold does not rebound. Some financial market experts said, in a short period of time, the price of gold may not be a big rise in space. Because investors may be alternative investment funds, such as bitcoin.
At the time of this writing, the price of gold fell from the highest point in 2011 nearly 40%. At that time, the demand for gold is very large, the central bank had to intervene in the foreign exchange market to control their currency value and stimulate the economy. This caused some trust in the financial system, many traders have diversified investment lead to safer assets such as gold.
Like bitcoin, gold has been a rarity, the number of circulation and limited demand to promote the consistent from beginning to end a sustained high prices. However, significantly reduced in demand over the past few months. Now, bitcoin provides a rare asset to the center.