4% theory goes brrr

Bitwise dropped some eye-opening numbers. According to their model, moving just 4% of global gold capital into Bitcoin could double BTC’s price.

People read that… thought about it… and started selling gold to buy Bitcoin. Gold crashed 6.3% in a day — the biggest daily drop since 2013 — while Bitcoin jumped by almost the same percentage.

But is that really what happened? Did traders seriously think that shifting 4% from one asset to another could magically double the transferred value?

From what I see at rabbit.io, after strong BTC rallies, many large holders swap some of their Bitcoin for tokenized gold like PAXG — locking in profits while staying in a solid asset that doesn’t lose value every day.

So maybe this time it’s just the reverse:
Speculators exiting gold near the top.
And where do they go? Into fiat? Of course not.

Let’s see if that “4% outflow” from gold actually happens — and what it does to the market.