3 Ways US Fed Printing Is Fueling Huge Gold, Silver and Bitcoin Rally

The prices of gold, silver, and Bitcoin are all rallying in tandem, as various macro factors boost alternative assets.

Bitcoin's increasing correlation with goldPrior to February 2020, there was not a clear correlation between Bitcoin and gold but after the massive Bitcoin price correction to $3,750 on March 12, signs of strengthening correlation between the two emerged.

Another way of analyzing the data could be that the declining U.S. dollar and rising inflation boosted investor sentiment around gold.

As safe-haven assets benefited from macro factors, Bitcoin also rallied as more investors began to consider it as a store of value.

The declining dollar is a positive catalyst for each assetAs gold, silver, and Bitcoin rallied simultaneously since April, the U.S. dollar has underperformed significantly against other reserve currencies.

The declining value of the U.S. dollar has positively affected precious metals and Bitcoin in recent months.

Including Bitcoin researcher Mark Wilcox, said BTC's rally can be attributed to the fading dollar, rather than the price of BTC increasing.

Since April 1, silver has also rallied by 90% against the dollar, outperforming both Bitcoin and gold in the same period.

Thus, in the near-term, analysts anticipate the slump to continue and theoretically this would benefit gold, silver, and Bitcoin.

The current macro landscape put together with the momentum of gold, silver, and Bitcoin could continue to fuel the demand for precious metals and cryptocurrencies.