Is Bitcoin Finally Ready to Outshine Gold?

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Jurrien Timmer, the big boss of global macro at Fidelity (yes, he’s got a title that sounds super important), has just dropped a truth bomb: it might be time for Bitcoin to take over. Yes, you read that right. He thinks Bitcoin might finally “take the lead.” 🙄

According to Timmer, the shiny yellow metal—gold—might just hand over the reins to its digital cousin. Why? Because of something called “Sharpe ratios,” which is apparently a fancy way of measuring risk vs reward. But let’s be real, it sounds more like a good excuse to sound like you’re in a finance meeting all day. 🤑

So here’s the thing: Bitcoin’s Sharpe ratio is currently at a not-so-stellar -0.40, meaning it’s actually performing worse than the risk-free rate. Oops. Meanwhile, gold is strutting around with a Sharpe ratio of 1.33, looking all fancy and outperforming Bitcoin like it’s the prom queen. And guess what? Gold’s been the big winner this year, beating Bitcoin by 17%, thanks to all that lovely economic chaos stirred up by tariff-related drama. 🙄

But wait, Bitcoin’s trying to make a comeback! Earlier today, it almost hit the $98,000 mark on the Bitstamp exchange, reaching levels it hasn’t seen since February. And that, my friend, is what we call “a comeback story.” 💪

“Different players on the same team” 🙄

Now, Timmer has a suggestion for investors. Ready for this? Own both gold AND Bitcoin. Shocked, aren’t you? His expert advice: go for a 4:1 ratio of gold to Bitcoin. Apparently, that’s the magic formula. 🎩✨

And then there’s this whole “Bitcoin is a little different” thing. Timmer says Bitcoin is like Dr. Jekyll & Mr. Hyde. One moment, it’s your reliable hard money. The next, it’s a crazy speculative asset. So yeah, you never quite know what kind of Bitcoin you’re getting at the party. Party animal, anyone? 🍾

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2025-05-02 23:07