Which digital currencies are influenced by the value of silver and gold?

3 answers

• Nov 26, 2021 · 3 years ago
  Some digital currencies that are influenced by the value of silver and gold include Bitcoin, Ethereum, and Litecoin. These cryptocurrencies are often seen as a store of value similar to precious metals. When the price of silver and gold increases, investors may flock to these digital currencies as a hedge against inflation. This increased demand can drive up the value of these cryptocurrencies. However, it's important to note that the relationship between the price of silver, gold, and digital currencies is complex and can be influenced by various factors.
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• Nov 26, 2021 · 3 years ago
  Digital currencies like Bitcoin, Ethereum, and Litecoin are often considered as 'digital gold' due to their limited supply and potential to act as a store of value. As such, their value can be influenced by the price of silver and gold. When the price of these precious metals rises, it can signal economic uncertainty or inflationary pressures, leading investors to seek alternative assets like digital currencies. This increased demand can drive up the value of these cryptocurrencies.
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• Nov 26, 2021 · 3 years ago
  While I can't speak for other digital currencies, at BYDFi, we believe that the value of digital currencies like Bitcoin, Ethereum, and Litecoin can be influenced by the price of silver and gold. These cryptocurrencies have gained recognition as potential safe-haven assets, similar to precious metals. When the price of silver and gold rises, it can indicate a loss of confidence in traditional fiat currencies, leading investors to seek alternative stores of value. This increased demand for digital currencies can contribute to their appreciation in value.
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