“The econometrics are so simple,” Morris said. “It's absolutely clear that if you were in gold and Bitcoin, you just don't really have a bad day.”
Morris said that for the first time in a generation, he’s seeing the gold price rising despite the lack of support from Wall Street. “I've been watching the gold market for 25 years and this is the first time I've seen the divergence between fund flows and the gold price,” he said. “It is different this time.”
He said the U.S. government’s reaction to the implosion of Signature Bank and SIlicon Valley Bank only increased the risk. “The reaction, the bank bailouts, was to protect depositors de facto across the board,” he said. “That means risk that used to sit with the private sector now sits with the public sector, not just in the U.S. but in the whole developed world.”Morris said that under the circumstances, the recent inflows of Wall Street investment into gold are important.
“I'm 99.9% sure, as sure as I can be, that the low for Bitcoin is in for this cycle,” he said. “Bitcoin is basically trading at $30,000, which is $1000 below the average since the last halving in May 2020. So we're back to the cycle average, and halving is in one year.
“Last year, Bitcoin went to $16,000. If you read the papers, it went to $6,” he said. “Bitcoin never delivered any bad news. We can't blame Bitcoin, we just blame the people who are no longer involved. They've gone, Bitcoin’s still there.”