Why Bitcoin can't Catch up with Gold: Experts Explain the Gap

Why Bitcoin can't Catch up with Gold: Experts Explain the Gap
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Bitcoin, called "digital gold," has failed to replicate the rise in the value of the precious metal. Why this happens and what experts think about it is in our material.

Despite its similarity to gold in terms of limited issuance and the status of a protective asset, bitcoin has been losing momentum lately. While gold reached a historic high of $4,398 per ounce, the cryptocurrency failed to show similar growth. Experts explain this by several key factors.

First, gold has a millennial reputation as a reliable store of capital. During a period of turbulence, investors prefer assets with a proven history of resilience, whereas bitcoin is perceived as a tool with high volatility and risks.

Secondly, the current macroeconomic environment increases the demand for physical assets. According to IT consultant Roman Nekrasov, in conditions of instability and inflationary pressures, investors instinctively choose more stable instruments such as gold.

The third factor was the loss of a close correlation between bitcoin and gold. Anton Gontarev, Intelion's commercial director, believes that there is now a phase where internal turmoil in the crypto industry is breaking the link with common macro factors. For example, sudden movements of funds in crypto ETFs or political events in the United States affect the bitcoin exchange rate, but do not affect gold.

However, experts emphasize that both assets are not competitors, but rather complement each other. Investors are advised to review their portfolio depending on the market situation: in times of instability, strengthen their positions in gold, and when they stabilize, return to cryptocurrencies.

Thus, while gold continues to strengthen its position against the backdrop of global turbulence, bitcoin remains in search of a stable trajectory.