Bitcoin Vs. Gold: Does October’s Near Zero Correlation Shatter ‘Digital Gold’ Myth?

Why It Matters

The decoupling raises questions about Bitcoin’s role as an inflation hedge or safe haven and could prompt investors and institutions to reassess portfolio allocations and risk assumptions tied to the crypto–gold comparison.

Summary

In October Bitcoin and gold diverged sharply, producing a near-zero correlation that challenges the narrative of Bitcoin as ‘digital gold.’ Over the month gold rose about 10% while Bitcoin fell roughly 6%, signaling the two assets behaved like different markets for most of the period. The decoupling raises questions about Bitcoin’s role as an inflation hedge or safe haven and could prompt investors and institutions to reassess portfolio allocations and risk assumptions tied to the crypto–gold comparison.