Cryptocurrency's Role in Global Economic Shifts Examined

According to PANews, a report from CITIC Securities highlights the rapid growth and increasing legitimacy of cryptocurrencies, noting their strong privacy features and resistance to inflation. As the demand for cryptocurrencies grows, they are forming a stable base similar to gold, influencing speculative pricing dynamics. However, in the short term, due to insufficient monetization and high-risk preferences among marginal price setters, cryptocurrencies exhibit stronger speculative characteristics. In the medium to long term, both cryptocurrencies and gold are expected to benefit from trends such as de-globalization and de-dollarization, which contribute to their monetization. While the "future gold" may not necessarily include Bitcoin, it is likely to involve cryptocurrencies. In the short term, cryptocurrencies may benefit from potential regulatory easing during U.S. President Donald Trump's tenure, although this is contingent on the certainty of trade and foreign policy decisions.