Updated Dec 8th 2013 8:10AM
Warren Buffett of Berkshire Hathaway is one of the most successful investors of all time, and his thoughts on gold will likely tell us what he thinks of Bitcoin.
The gold rush
In September of 2011, the price of gold hit $1,861 per ounce, which capped off an incredible 10-year run that saw the price of gold rise on average each year by 21%.
If someone had invested $1,000 in gold, it would have turned into $6,830 over those 10 years, whereas a $1,000 investment in the S&P 500 would have only left them with only $1,055.
Source: St. Louis Federal Reserve.
When gold prices began declining in November of 2011, CNBC speculator Jim Cramer said "the vicious decline in gold is signaling the collapse of the current financial order, an order that's based on printing money to cover up problems." Cramer gave three reasons he thought gold would continue to rise, highlighting that the European banking crisis, the strong demand from central banks and citizens of emerging nations, and the limited supply of gold would help boost prices.
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