Bitcoin continues to hold strong positions in financial markets, competing with gold and international equities, according to a new report by Marco Timmer from Fidelity Investments.
Bitcoin and Gold in Current Conditions
Marco Timmer noted that it is no surprise Bitcoin remains at the top of the global returns leaderboard alongside gold and international equities, while bonds linger at the bottom. He explains how the crisis in fiat currencies and U.S. fiscal dominance lead to increased investments in risk assets. Gold, traditionally seen as Bitcoin's analog, has already outpaced it in 2025.
Cycles and Institutional Appeal of Bitcoin
Timmer also weighed in on debates regarding whether Bitcoin's four-year halving cycle still holds relevance in a market now dominated by institutional players. Despite changing dynamics, he believes Bitcoin continues to follow historical patterns, supported by supply mechanics. In July, Timmer described Bitcoin and gold as being in the 'middle' of the hard money trade.
The Future of Bitcoin Amid Fiscal Changes
Timmer believes that if quantitative easing returns, Bitcoin will play a central role. This reflects a shift in macroeconomic strategies, where Bitcoin could become pivotal for future investments given structural fiscal challenges.
The analysis of the current state of Bitcoin and gold indicates their importance in financial markets and potential changes depending on fiscal trends.
