Is Bitcoin Becoming the New Market Hedge?

[emma.lee1890]

Usability wise, bitcoin could make a great hedging asset. It definitely has the characteristics of a good hedging asset. The only issue that it has for now is the volatility. An asset that can rise/drop by 10% or more a day is definitely not good for a hedge; it would be counter intuitive. Hopefully as more of the masses get a hold of bitcoin though, that the volatility will decrease significantly. For now, gold wins the "hedge" category. With the recent up move in price, there are some analysts that feel that BTC could become the new asset of choice for hedging. BTC holds all of the right characteristics of a hedging asset. If BTC could become the choice of hedgers the valuation potential is staggering.