Gold prices hit a new all-time high while Bitcoin is losing ground. What explains this market dynamic?
Gold Reaches New High
Gold has hit a new all-time high surpassing $3,051 per ounce. This can be attributed to global economic instability and rising geopolitical risks.
Bitcoin Experiences Decline
Bitcoin has dropped over 15% in the last month, trading at $83,209, which is 24% below its peak of $108,786 reached in 2025. Although often compared to gold as 'digital gold', Bitcoin's recent performance suggests otherwise.
Why is Gold Winning?
Due to rising geopolitical risks, such as the breach of truce between Israel and Hamas, investors flock to gold as a stable store of value. Meanwhile, despite Trump's pro-crypto stance, Bitcoin remains a volatile asset, making it less attractive to risk-averse investors. Analysts indicate that Bitcoin behaves more like a tech stock than the 'digital gold' it is often purported to be.
In the current climate, gold emerges as a more reliable store of value, while Bitcoin's stability as an asset remains unproven, according to experts.