Laboure also noted, “We anticipate that both gold and Bitcoin can find a place on central bank balance sheets by the year 2030.”
BTC.CM= YTD mountain Bitcoin
Both asset classes have benefited from a weakening U.S. dollar, geopolitical tensions, trade uncertainties, and questions surrounding the independence of the Federal Reserve, resulting in record-breaking performance. Gold recently reached a new intraday high, exceeding $3,700, as central banks continue to bolster their gold reserves. Bitcoin was most recently valued around $112,000, having previously hit a record high above $120,000 last month.
Laboure believes Bitcoin is poised to retest that high mark before the year concludes.
These converging factors are expected to promote further adoption of Bitcoin among central banks. Like gold, Bitcoin offers value storage and exhibits a low correlation with traditional assets, making it an attractive diversification option for central banks evaluating their reserves, according to the firm.
“Bitcoin also has the potential to provide both an investment and a consumer-good value. As such, like gold, Bitcoin’s long-term performance may also be supported by income growth,” Laboure wrote. “This explains why when equities rally strongly, their correlation to Bitcoin can rise.”