# If gold is a safe haven, then Bitcoin is a safe haven

That is the rhetoric going around after this last week of carnage.

The mantra has been that gold is a safe haven asset. Something to be owned in times or turmoil in order to preserve ones purchasing power.

Bitcoin was hoping to be viewed as the same some day.

Well, after what we learned last week, it may already be there.

At least if gold is.

https://i.postimg.cc/Hkd85JFv/9e05a273b3df3d6a51bc399267f3fb2f.png

(Source: https://cointelegraph.com/news/you-ok-boomer-gold-sees-biggest-loss-since-2013-as-bitcoin-steadies)

# The proof is in the pudding!

We saw some historic selling across risk-assets last week, with stocks sinking close to 15% on the week.

With the largest single day sell off ever for the Dow Jones taking place on Thursday at 1,200 points.

Overall, it was the biggest weekly decline since the Great Recession back in 2008.

In this environment, even the so called safe haven assets were thrown out with the bath water.

Bitcoin was down roughly 9% on the week, but interestingly enough, gold was down over 7% on the week as well.

Gold bugs have long scoffed at the notion that bitcoin was a safe haven asset like gold because of the large draw downs. However, gold just reacted very similar to bitcoin.

Which means...

If gold is considered a safe haven asset, bitcoin probably should be as well.

They won't always act like safe havens, like we saw this week, but in most cases they will.

There will be extreme situations like we saw this week when anything and everything that can be sold for cash, will be.

# Bitcoin likely to get better as a safe haven over time...

The interesting thing as it relates to bitcoin is that as we move forward, and bitcoin eventually gains more use cases as a currency, it actually increases its safe haven appeal.

Instead of just being a store of value like it is now, it could also be seen as something people flee to when they just want to get their 'money'.

Anyways, if anyone ever tries to tell you that gold is a safe have store of value but bitcoin is not, just point to this week.

This week forever puts a dent in that argument.

Hoping for better weeks ahead.

Stay informed my friends.

-Doc