The Director of Macro Global in bitcoin-etf-filing/” rel=”nofollow”>Loyalty investmentsJurrien Timmer recently provided information on the potential of bitcoin-to-hit-150k-by-2025-financial-firm/” rel=”nofollow”>flagship cryptocurrency, bitcoinand went so far as to label the crypto token “exponential gold.”
A look at the bitcoin adoption curve
in a mail Posted on his platform an excellent option forethereum-may-become-a-better-inflation-hedge-over-bitcoin/#:~:text=bitcoin‘s%20returns%20over%20the%20past,the%20best%20hedge%20for%20inflation.” rel=”nofollow”> inflation hedge. That’s why he sees the token as “exponential gold.”
<img decoding="async" class="alignnone size-medium wp-image-559117 aligncenter" src="https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-3.png?w=460&resize=460%2C273″ alt=”bitcoin” width=”460″ height=”273″ srcset=”https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-3.png?w=512 512w, https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-3.png?w=460&resize=460%2C273 460w” sizes=”(max-width: 460px) 100vw, 460px” loading=”lazy” data-recalc-dims=”1″/>
Source: X
He delved deeper into bitcoin-adoption-to-grow-50-by-2025-this-report-claims/” rel=”nofollow”>The bitcoin Adoption Curve, stating that it has so far followed a “typical S-curve shape,” which puts it in good company with other major innovations that went through that adoption process. One of them is mobile phones, as Timmer noted that bitcoin‘s adoption curve in 2020 resembled that of mobile phones in the 1980s and 1990s.
<img decoding="async" class="alignnone size-medium wp-image-559118 aligncenter" src="https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-1-1.png?w=460&resize=460%2C270″ alt=”bitcoin 1″ width=”460″ height=”270″ srcset=”https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-1-1.png?w=512 512w, https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-1-1.png?w=460&resize=460%2C270 460w” sizes=”(max-width: 460px) 100vw, 460px” loading=”lazy” data-recalc-dims=”1″/>
Source: X
bitcoin, however, appears to have moved to another stage in the adoption curve, as Timmer stated that the “real rate narrative changed from dovish in 2020 to aggressive in 2022.” He further suggested that bitcoin has moved beyond the stage of rapid rise as its adoption curve has flattened. With this, Timmer believes that he now shares similarities with the bitcoin-adoption-curve-rivals-the-internet/” rel=”nofollow”>internet adoption curve in the 2000s, as the crypto token “has not advanced much since 2021.”
bitcoin Volatility: Good or Bad?
In a later mail, Timmer put bitcoin‘s volatility into perspective by comparing it to other asset classes. First, he shared a risk-reward graph for the pandemic and post-pandemic era ranging from 2020 to this year. The SPX appeared to offer the best risk-reward ratio with a return of around 24%.
<img decoding="async" loading="lazy" class="aligncenter wp-image-559119 size-medium" src="https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-2-1.png?w=460&resize=460%2C270″ alt=”Fidelity Investment Director” width=”460″ height=”270″ srcset=”https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-2-1.png?w=512 512w, https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-2-1.png?w=460&resize=460%2C270 460w” sizes=”(max-width: 460px) 100vw, 460px” data-recalc-dims=”1″/>
Source: X
Timmer then went on to share another chart, which this time included bitcoin. The leading cryptocurrency notably stood out from the rest, as he mentioned that bitcoin was “in a different universe”, with a return of 58%.
<img decoding="async" loading="lazy" class="alignnone size-medium wp-image-559120 aligncenter" src="https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-3-1.png?w=460&resize=460%2C268″ alt=”bitcoin 3″ width=”460″ height=”268″ srcset=”https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-3-1.png?w=512 512w, https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-3-1.png?w=460&resize=460%2C268 460w” sizes=”(max-width: 460px) 100vw, 460px” data-recalc-dims=”1″/>
Source: X
bitcoin-open-interest-overheat-brace-volatility/” rel=”nofollow”>The high volatility of bitcoin seems to have contributed to such returns greatly, as Timmer mentioned that the crypto token’s huge drops also come with huge gains. To make his point clearer, he shared another chart showing declines and rallies that various asset classes have experienced from their two-year highs and lows, respectively.
<img decoding="async" loading="lazy" class="aligncenter wp-image-559121 size-medium" src="https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-4.png?w=460&resize=460%2C270″ alt=”Fidelity Investment Director” width=”460″ height=”270″ srcset=”https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-4.png?w=512 512w, https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-4.png?w=460&resize=460%2C270 460w” sizes=”(max-width: 460px) 100vw, 460px” data-recalc-dims=”1″/>
Source: X
The chart showed that bitcoin saw a 54% drop from its bitcoin-futures-cme-q3-breaks-all-time-highs/” rel=”nofollow”>maximum of two years but it has also risen 84% from its low in the same period.
This is all the more impressive when you consider how other asset classes have fared in the same period in which Timmer stated that government bonds “Can’t compare” to bitcoin‘s risk-reward math.
<img decoding="async" loading="lazy" class="aligncenter size-medium" src="https://www.tradingview.com/x/cC6VE6Ss/" alt="Tradingview.com bitcoin Price Chart (crypto)” width=”2650″ height=”1758″/>
btc jumps back to $34,800 | Source: BTCUSD on Tradingview.com
Featured image from Capital.com, chart from Tradingview.com
