- Bitcoin struggles against gold despite growing institutional adoption, failing to outperform the metal.
- The Bitcoin-to-gold ratio dropped over 19% from its December peak of 41 ounces.
- Gold surged past $2,827 per ounce, nearing its February record high of $2,886.
Bitcoin (BTC) has failed to break away from gold, despite significant institutional adoption. The leading cryptocurrency’s performance has been underwhelming compared to gold, which recently approached an all-time high. Trading veteran Peter Brandt described BTC’s lack of dominance over gold as “very interesting.”
Gold Outperforms Bitcoin Despite Rising Institutional Interest
BTC’s price has struggled against gold, even as institutional interest has grown. The Bitcoin-to-gold ratio dropped to its lowest level since November, declining more than 19% from its December peak of 41 ounces. In December, Brandt predicted the ratio could reach 89 ounces, but Bitcoin’s momentum has not followed his expectations.
Source: X
Gold has strengthened, reaching $2,827 per ounce and nearing its February record high of $2,886. Since its local bottom of $2,583 in December, gold has surged by over 11%, outpacing Bitcoin. This trend challenges the argument that Bitcoin will replace gold as the primary store of value.
Bitcoin exchange-traded funds (ETFs) have performed well, attracting significant investments. However, BTC has not delivered substantial gains against gold, raising doubts about its role as digital gold. Some Bitcoin supporters, including former Meta executive David Marcus, have urged the U.S. government to replace its gold reserves with Bitcoin.
BTC’s Volatility Raises Doubts on Store of Value
BTC advocates claim that the cryptocurrency will outperform gold in the long run. However, gold’s recent performance indicates that it remains a strong store of value. Gold’s continued gains suggest investors still trust the metal over BTC during uncertain economic conditions.
Despite BTC’s increasing mainstream acceptance, gold continues to dominate the market. The metal’s historical stability and rising prices reinforce its value in the financial market. Investors see gold as a safe asset, especially during economic uncertainty.
The idea that Bitcoin could replace gold faces increasing skepticism. The cryptocurrency’s volatility contrasts with gold’s steady growth, raising concerns among conservative investors. BTC’s inability to surpass gold’s performance challenges the long-held belief that it is a superior store of value.
Robert Kiyosaki Warns of Historic Market Crash
Investor and author Robert Kiyosaki predicts a major economic downturn in 2025. He warns of a potential financial crisis that could lead to widespread job losses, falling stock prices, and a housing market slump. Kiyosaki believes the upcoming crisis could be the largest market crash in history.
He argues that financial literacy is essential to navigate economic instability. Traditional education, he claims, does not prepare individuals for financial independence. Instead, he urges people to focus on entrepreneurship and investment to secure their financial future.
Kiyosaki has repeatedly cautioned about economic uncertainty, and he believes his predictions are now materializing. He encourages individuals to acquire assets like BTC and gold to protect their wealth. As economic conditions worsen, he expects financial preparedness to determine who thrives and who struggles.