Bitwise CEO Says Bitcoin Competes with US Treasuries, Not Gold
Bitwise Asset Management CEO highlights that Bitcoin’s primary rival is US Treasuries rather than gold. He argues that as investors seek yield, government bonds and money-market instruments present the most direct competition to Bitcoin. Unlike gold, US Treasuries offer predictable returns and low risk, driving institutional allocations. The CEO notes that Bitcoin’s digital scarcity and decentralization still appeal to long-term holders, but yield-seeking traders compare BTC against fixed-income alternatives. This view reflects shifting market dynamics where rising interest rates influence crypto inflows. Fund managers now balance allocations between Bitcoin and US Treasuries based on risk tolerance and return expectations. Understanding this rivalry helps traders gauge Bitcoin demand in varying rate environments.
Neutral
Bitwise’s stance frames Bitcoin as a yield-alternative asset competing with US Treasuries rather than gold. This perspective does not directly drive prices but shifts institutional demand models. In the short term, traders may reassess portfolio allocations between BTC and Treasuries when rates change, causing modest volatility. Long term, if Bitcoin adoption grows as a digital store of value, its demand could strengthen, potentially boosting prices. Historical parallels include phases where rising yields tempered crypto inflows but did not reverse the broader bull trend. Overall, the market impact is neutral, as this insight informs strategy more than triggers immediate buying or selling.