As more people seek a hedge against inflation in 2021, the number of global monthly keyword searches for purchasing assets has revealed some intriguing results.
According to Finbold data, the average monthly online search for the keyword ‘Buy Bitcoin’ has reached 241,000, which is three times more than ‘Buy Gold’ and nearly six times more than ‘Buy Ethereum.’ The data was obtained from the Ahref search engine optimization (SEO) tool.
The United States and the United Kingdom, in particular, lead all countries in terms of people searching for the three target keywords.
According to the findings, Americans search for Buy Bitcoin 116,000 times per month, accounting for 48 percent of global volume searches. This is roughly three times more frequently than they search for Buy Gold 39,000 times per month, accounting for a 65 percent majority over the other nations.
The Covid-19 pandemic taught people many lessons, one of which was the value of saving and investing. Those who made wise financial decisions prior to the pandemic were able to maintain their standard of living during the lockdown.
As a result, in the midst of the pandemic, people began to look for safe-haven assets to store their money. Gold has long been regarded as a solid inflation hedge due to its accessibility to people of all socioeconomic backgrounds and technical abilities. Above all, gold is the central bank’s reserve currency.
Bitcoin, on the other hand, is a digital currency based on the blockchain that resembles gold in some ways. Many have previously dubbed Bitcoin “Digital Gold” due to its poor correlation with other assets, particularly stocks.
Although Gold outperforms Bitcoin in terms of legality, transparency, and security, it has historically been far less volatile.
Microstrategy purchases more Bitcoin
Bitcoin, on the other hand, has outperformed gold as a store of value by a factor of a hundred. MicroStrategy made Bitcoin purchases its official business strategy in 2020, with its CEO, Michael Saylor, describing the move as a hedge against the expected depreciation of the US dollar. Tesla (NASDAQ: TSLA) and Square (NYSE: SQ) eventually adopted the idea of using Bitcoin to replace a portion of their cash reserves.
Michael Saylor recently tweeted:
“Gold is down 10.5 percent this year, while Bitcoin is up 332 percent. In the same decade, gold has returned 0% per year while bitcoin has returned 146% per year. Why do we still argue about which is the better store of value?”
#Gold is down 10.5% in the same year #Bitcoin is up 332%. Gold has returned 0% per year in the same decade Bitcoin has returned 146% annually. Why do we still debate which is the superior store of value?— Michael Saylor⚡️ (@michael_saylor) September 17, 2021
The Nasdaq-listed company recently announced the purchase of another 5,050 Bitcoin for approximately $242.9 million, bringing the total value of its 114,042 BTC holdings to nearly $5.3 billion.
MicroStrategy has purchased an additional 5,050 bitcoins for ~$242.9 million in cash at an average price of ~$48,099 per #bitcoin. As of 9/12/21 we #hodl ~114,042 bitcoins acquired for ~$3.16 billion at an average price of ~$27,713 per bitcoin. $MSTRhttps://t.co/2ESbTy6ad7— Michael Saylor⚡️ (@michael_saylor) September 13, 2021
Despite the recent multi-fold increase in Bitcoin’s price, it is expected to increase in value against the US dollar in the near future. Many cryptocurrency supporters believe Bitcoin’s market capitalization will surpass that of gold by 2030.
Bitcoin is currently trading at $48,705, up 1.72 percent in the last 24 hours and 8.14 percent in the last seven days, while gold is trading at $1,755 per ounce, up +1 at the time of publication.