Fidelity Macro Head: Bitcoin and Gold's Price Action in the 1970s Are Very Similar

On August 23, Jurrien Timmer, global macro director at Fidelity, said that as Bitcoin’s market value gets closer to its previous highs, BTC is no longer a decoration.

Timmer was also assessing Bitcoin’s performance over the past two years and said it closely resembles gold’s price action in the 1970s.

Timmer said, according to my (highly subjective) 1970s gold analogy, Bitcoin looks ready to resume its uptrend. I am impressed by how Bitcoin and the entire cryptocurrency space have rebounded from this 55% correction. Speculators now account for only 17% of the market. This level is consistent with past bottoms.

Furthermore, Bitcoin's fundamentals (its network) are steadily improving. At its peak, there were 34.3 million addresses (with at least $1). This number dropped to 31.8 million at the trough and has now climbed back up to 33.5 million". Whales, or entities that have held BTC for more than 10 years, now control a large portion of Bitcoin's supply and now account for 12% of the market.