What is the correlation between the silver price and the performance of digital currencies in 2018?

3 answers

• Nov 29, 2021 · 3 years ago
  Yes, there is a correlation between the price of silver and the performance of digital currencies in 2018. The price of silver, being a precious metal, is often seen as a safe haven investment during times of economic uncertainty. When the price of silver rises, investors may choose to allocate their funds towards silver, resulting in a decrease in demand for digital currencies. This decrease in demand can potentially lead to a decrease in the value and performance of digital currencies. On the other hand, when the price of silver falls, investors may shift their focus towards digital currencies, leading to an increase in demand and potentially boosting their performance.
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• Nov 29, 2021 · 3 years ago
  The correlation between the price of silver and the performance of digital currencies in 2018 can be attributed to several factors. Firstly, both silver and digital currencies are considered alternative investments to traditional financial assets. Therefore, when there is a shift in investor sentiment towards alternative investments, it can impact both the price of silver and the performance of digital currencies. Additionally, the price of silver is often influenced by macroeconomic factors such as inflation, interest rates, and geopolitical events. These factors can also have an indirect effect on digital currencies, as they are often seen as a hedge against traditional financial systems. Overall, while the correlation may not be direct, there are underlying factors that can influence both the silver price and the performance of digital currencies in 2018.
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• Nov 29, 2021 · 3 years ago
  As a representative of BYDFi, I can say that the correlation between the price of silver and the performance of digital currencies in 2018 is not a straightforward one. While there may be some influence, it is important to consider that digital currencies are driven by a wide range of factors, including technological advancements, regulatory developments, and market sentiment. The price of silver, on the other hand, is influenced by factors specific to the precious metals market. Therefore, while there may be some correlation between the two, it is not the sole determining factor for the performance of digital currencies in 2018.
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