Bitcoin News Today: Gold Surpasses Bitcoin as Diversification's New Anchor

Spot gold prices surged to a record high this week, surpassing $3,500 per ounce amid growing anticipation of U.S. interest rate cuts. Analysts have noted that the Federal Reserve’s potential policy shift is a key driver of the recent rally in gold prices. Suki Cooper, an analyst at Standard Chartered, has suggested that such monetary developments are likely to push gold to new highs. At the same time, gold-backed funds have also seen strong inflows. For instance, the SPDR Gold Trust, the world’s largest gold ETF, reported an increase in holdings of 1.01% on Friday, bringing its total to 977.68 tons — the highest in three years [1].

The rise in gold prices has coincided with broader macroeconomic uncertainty, including concerns over inflation, equity volatility, and the potential erosion of the U.S. dollar’s status as a global reserve currency. Goldman Sachs analysts, including Samantha Dart, have highlighted that a scenario where the Federal Reserve’s independence is compromised could lead to higher inflation and greater demand for safe-haven assets like gold. In such a case, the precious metal could reach as high as $5,000 per ounce, according to the firm’s forecasts [1].

While gold has outpaced Bitcoin in 2025 — with a year-to-date gain of nearly 37% compared to Bitcoin’s 22% — both assets are seen as important components in a diversified portfolio. The Bitcoin market, meanwhile, has attracted renewed institutional interest. BlackRock, for example, recently added $289.84 million in Bitcoin on September 3. This trend is part of a broader shift in how digital assets are viewed within traditional finance, with Bitcoin ETFs drawing significant net inflows and improving the cryptocurrency’s liquidity [1].

The role of Bitcoin and gold as hedging assets has also become a topic of debate among investors and analysts. According to André Dragosch, European head of research at Bitwise Asset Management, gold remains a reliable hedge during equity market downturns, while Bitcoin has shown resilience in periods of bond market stress. Historical data supports this view, with gold often rising when stock markets decline. For example, in the 2022 bear market, gold prices increased by approximately 5% while the S&P 500 fell nearly 20%. In contrast, Bitcoin’s performance during the same period was far more volatile, declining by more than 60% [3].

This year, the divergent performance of gold and Bitcoin has become more pronounced. As of August 31, gold was up more than 30% year-to-date, while Bitcoin rose by about 16.46%. The S&P 500, by comparison, gained roughly 10% over the same period. The contrasting trends reflect the different functions these assets play in a portfolio — gold protecting against stock market volatility and Bitcoin offering a counterbalance to bond market stress [3].

Despite Bitcoin’s growing institutional adoption and its performance in certain macroeconomic scenarios, some analysts caution that its role as a hedge is evolving. Large inflows into spot Bitcoin ETFs have made the cryptocurrency more correlated with traditional risk assets, reducing its independence as a bond market counterweight. Moreover, unforeseen macroeconomic shocks or regulatory developments could cause both gold and Bitcoin to move in the same direction, potentially limiting their hedging effectiveness in the short term [3].

Source:

[1] Bitcoin vs. Gold: Which will outperform in 2026? (https://finbold.com/bitcoin-vs-gold-which-will-outperform-in-2026/)

[2] The Real Reason Behind Bitcoin Outperforming The S&P500 ... (https://finance.yahoo.com/news/real-reason-behind-bitcoin-outperforming-141541439.html)

[3] Bitcoin or Gold: Which Is the Better Hedging Asset in 2025? (https://www.coindesk.com/markets/2025/08/31/given-trump-s-pro-crypto-stance-is-it-time-to-fully-ditch-gold-in-favor-of-bitcoin)