🚨 Gold & Bitcoin: The Party’s Over? 🎉

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Behold, the glittering duo of gold and Bitcoin, those darlings of the fiscally paranoid, are teetering on the precipice of a valuation so historic it would make even the most jaded economist blush. 🤑

A certain market oracle, one Jurrien Timmer, Director of Global Macro at Fidelity, has deigned to grace us with his insights on X (formerly the avian haven of Twitter). His proclamation? The hedging fiesta against the dollar’s lamentable devaluation and inflation’s voracious appetite may soon be but a memory. 🍾✨

The Twilight of the Hedgers?

Ah, gold and Bitcoin, those finite sirens of the financial world, have long been the darlings of inflation-wary investors. CoinGecko’s data reveals their triumphant march this year-gold, the venerable metal, has ascended by 54.83%, while Bitcoin, the digital enfant terrible, has modestly gained 12.98%. Yet, Timmer, ever the spoilsport, suggests this rally is but a swan song. 🦢💔

He dares to compare our current financial frolic to the inflationary bacchanalia of 1980, a year so tumultuous it makes today’s markets look like a tea party. ☕️

A Dance with M2

Timmer, ever the meticulous analyst, aggregates the inflation-adjusted market value of these twin titans and waltzes them into a comparison with the US M2 money supply-that vast ocean of circulating currency. 🌊

History, that wily narrator, tells us that when M2 expands with the fervor of a balloon at a child’s party, hard assets like gold gleam brighter than a narcissist’s ego. Timmer, with a flourish, declares gold and Bitcoin the paragons of “hard money,” shields against the debasement of currency. 🛡️

The Ceiling of Yore

Our analyst, with the precision of a lepidopterist pinning butterflies, highlights the peaks of 1933 and 1980, when inflation sent gold’s value soaring to 123% and 140% of the US M2 money supply, respectively. Today, the combined valor of gold and Bitcoin stands at a staggering $29 trillion, a figure so grand it constitutes 133% of M2-surpassing 1933’s zenith and breathing down 1980’s neck. 🏔️

Timmer, with a dramatic flourish, dubs this a “critical point,” a moment to pause and consider whether the golden bell should be rung. 🔔

“One reason to contemplate ringing the golden bell is that if gold is a play on US fiscal dominance, one could argue that the run is now complete,” he concluded, with the air of a man who has just solved a crossword puzzle in record time. 🧩

Thus, the great rallies of gold and Bitcoin, fueled by the anxieties of monetary expansion, may be sputtering like a candle in a draft. While these assets remain the stalwarts of long-term hedging, Timmer warns that the “easy returns”-those low-hanging fruits of inflation fears-may already have been plucked. 🍇

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2025-10-24 17:13