Max Keiser Believes Bitcoin is Relatively Stronger than Gold Author: Jimmy Aki Last Updated: 25 September 2020 Max Keiser has been more than happy to report on the current macroeconomic trends and the cryptocurrency space. With Bitcoin showing impressive performance and all signs pointing to a sustained price level above $10,000, the analyst and podcast host is as bullish as ever. Higher Highs and Quick Corrections This week, Keiser came for gold, the top alternative asset, and Bitcoin’s primary competitor. In a tweet published on Wednesday afternoon, Keiser pumped Bitcoin once more, explaining that the leading cryptocurrency is currently showing higher relative strength to gold. As he explained, the dollar’s performance has so far frustrated bulls, and many are looking to Bitcoin to fill their void – as opposed to gold. While Keiser’s theory didn’t come with any proof from his end, it can still be tested using J. Welles Wilder Jr.’s Relative Strength Index. The index can be used to determine if an asset is being overbought or oversold, and Bitcoin does appear to be posting a better performance than gold. According to comparison data from Trading View, Bitcoin has recovered from oversold positions much sharply than gold has. The leading cryptocurrency also shows higher consecutive lows than gold, while the latter sets lower lows on daily timeframes. Oil Takes a Beating With such relative strength, Bitcoin appears poised to make bigger plays in the future. However, gold isn’t taking all the credit. Another top alternative asset that is currently flatlining is oil. Markets were rocked in April when the West Texas Intermediary (WTI) index slipped into negative territory for the first time. The May 2020 futures for the index hit a price of negative $37.63. the June 2020 WTI contract – which expired on May 19 – also dropped by almost 20 percent to hit a price of $20,43 per barrel. Another top oil benchmark, the Barclays IPATH ETN (OIL), fell as low as $3.50. While the asset has risen from the historically low points, it hasn’t entirely been rosy too. Earlier this month, Spencer Dale, the Chief Economist at oil giant BP, told Bloomberg that the world appeared to have hit peak demand for oil. Dale added that the demand should stay “broadly flat” over the next two decades, as pressure from alternative assets and even the coronavirus pandemic could keep it down. “It subsequently recovers but never back to pre-COVID levels. It brings forward the point at which oil demand peaks to 2019.” The drop in oil has so far had little to no effect on the Bitcoin price. When oil indexes reached their historic lows, Bitcoin remained unaffected. Now that they’re trying to make a comeback, Bitcoin is still riding high. The asset is trying to recover the highs of July and August, when it traded for as much as $11,700. However, even while still struggling to hold on to the $10,500 comfort level, bulls are as optimistic as ever. It’s quite clear to see that Bitcoin has managed to win the ever-engaging tug of war between alternative assets.