The Digital Gold Trap: Why Bitcoin’s Success is the End of Your Outsized Returns

Over the last month I’ve been highlighting what I believe is a serious macro inflection point forming between Bitcoin and the broader altcoin market. This is not a short term rotation. It is not a seasonal alt trade. It is a structural shift that I believe will continue to develop over the course of this year and likely for years to come.

The days of buying and holding Bitcoin for outsized exponential returns may be coming to an end.

For the last decade and a half Bitcoin holders have worked tirelessly to position BTC as the most pristine asset in the world. Digital gold. Store of value. Immutable monetary reserve. On that front they have largely succeeded.

Bitcoin now has ETFs. Institutional custody. Sovereign adoption. Public company treasuries. It has legitimacy.

But before we decide what that means for returns we need to step back and ask a more important question.

What actually happens to assets that become stores of value?

To answer that we start with gold.