Gold Just Set a New All-Time High While Bitcoin Is Falling: What's Going On?
Gold has reached a new record price of $3,047 per ounce, amidst rising geopolitical tensions and an aggressive trade policy from President Trump. In contrast, Bitcoin has seen a significant decline, dropping nearly 3% in the last 24 hours and over 15% in the past month, currently trading at $81,967—well below its all-time high of $108,786. While Bitcoin is often referred to as 'digital gold', its recent performance aligns more closely with tech stocks than with gold, reflecting traders' reactions to macroeconomic uncertainties. The shifts in asset correlations indicate that Bitcoin is currently viewed as a risk-on asset, impacted by fear surrounding potential tariffs and economic policies. As investors navigate this environment of uncertainty, they must choose between traditional safe-haven assets like gold and more volatile cryptocurrencies like Bitcoin.
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