Why the Price of Gold Is Rising While Bitcoin Is Struggling

Why It Matters

The divergence underscores renewed confidence in gold’s inflation- and crisis-hedging role and raises questions about Bitcoin’s reliability as a macro hedge going forward.

Summary

Gold has surged to an all-time high—reaching $4,376 per ounce on Oct. 17—as rising geopolitical tensions and renewed trade disputes drive investors back to traditional safe havens. Bitcoin, long touted as “digital gold,” has underperformed amid the risk-off shift, losing momentum as capital flows favor the tangible asset. The divergence underscores renewed confidence in gold’s inflation- and crisis-hedging role and raises questions about Bitcoin’s reliability as a macro hedge going forward.